This project was done by members of Clemson University's Strategic Marketing Management class at the request of the owners of FDS Pitmasters, a local start-up BBQ catering business working to expand their market share.
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Palmetto Pitmasters Presentation
1. Designated Drinkers:
Daniel Carroll
Julie Clamp
Alyssa Goodson
Wesley Moran
Katherine Williams
2. Introduction Stage of the
Product Life Cycle
Name Change: FDS Pitmasters Palmetto
Pitmasters
Basic objectives: Establish a market for a product
type, persuade early adopters to buy
Product: Provide a high quality product and original
barbecue experience
Pricing: Relatively low at first to build demand
Channels: Limited number of channels
Communication: Aimed at early
adopters, messages designed to educate about
the product type
3. Mission Statement
Palmetto Pitmasters’ goal is to provide a unique
barbecue catering experience for residents of the
Upstate of South Carolina. By offering personal,
knowledgeable service and great food at
competitive prices the company strives to
become the most sought after catering company
in Clemson and surrounding areas.
5. Situation Analysis: External
Cooperative: Not an issue since most of supplies would come from a
wholesaler
Competitive:
Brand: Little Pig’s BBQ, Smoking Pig, Just More BBQ
Product: Other catering businesses (Moe’s, Chick-Fil-A, Zaxby’s,
Boulevard Grille, Sonny’s, Sticky Fingers)
Generic: Any restaurant, grocery store, or deli
Total Budget: Anything & everything that you would spend your money on
Economic: Overhead costs are low for small businesses
Social: Preference for BBQ in this region/southern food
Political: Clemson’s contract with Aramark; FDA, DHEC and USDA
regulations
Legal: Required Business license
Technological: BBQ processing has remained the same over time.
Sophisticated record systems are important so that repeat clients can look
back on previous invoices.
6. Situational Analysis: Customer
Who:
Students, faculty, businesses, tailgaters, families, celebrations
, large groups
What: On-site catering for events and providing food for
tailgating events
When: Year-round, during baseball & football season
especially
Where: Order catering services online or over the phone
Why: Palmetto Pitmasters meets an unmet need in the
catering industry. They bring the restaurant to you.
7. SWOT Analysis: Internal
Strengths:
Original recipes
Greater versatility and mobilization than competitors
Low overhead costs
Having a choice in their amount/selection of work
Local appeal
Weaknesses:
Lack of resources due to company size
Small market share
Lack of advertising
Lack of information of menu/pricing/etc
Not able to accommodate for very large events without
outsourcing
Unable to cater multiple events simultaneously
8. SWOT Analysis: External
Opportunities:
Great market for BBQ in the south
A number of opportunities/events to cater BBQ
Competing in regional BBQ competitions
Opportunity to control a large portion of the market share around
the Clemson area
Threats:
Several other BBQ restaurants/caterers: Little Pig’s BBQ,
Smoking Pig, and Just More BBQ
Not seen as a healthy food option
Population of Clemson as a college town
9. Value Proposition
We’re available anytime and anywhere to bring
the flavor and experience of home cooked
barbecue to your next event.
10. Organizational Objectives
Profit: Break even by 18 months of business and work towards
making up to a 10% profit within 6 months after reaching the
break even point
Sales Units: Cater at least 14 events over the 2012 calendar year
(6 baseball tailgates, 4 catering events over the summer, 4
football tailgates)
Market Share: Gain share at a constant rate as advertising and
word of mouth pays off
Advertising awareness: Increase awareness each year, budgeting
for advertisements based on task approach
11. Strategy Based on Value
Differentiation: The catering comes to you, customizable
packages, you get a real southern BBQ experience
Customer Intimacy: Loyalty and referral programs
Operational Excellence: Quality food
Product leadership: New catering specials based on time
of year/sports seasons
Cost leadership: Standardized products/prices along with
specialty items at request
12. Marketing Strategy: Segmentation
Geography: Upstate area (specifically Oconee, Pickens,
and Anderson counties)
Demographics:
College students
Adults
Families
Groups
Behavior:
Loyalty
Social individuals
13. Marketing Strategy: Targeting
Product specialization
Focusing on pulled pork, ribs, and
brisket while offering other items
Tailoring the options to meet the
needs of the different customers
15. The Marketing Mix
Product: On-site catering business
Place:
Clemson, Anderson, Seneca and surrounding areas
Personal tailgates
Price:
Bundling Pricing Package Deals: Hog’s Heaven, Tiny
Tiger Tailgate, Tiger Tailgate, Tremendous Tiger Tailgate
tailgating specials
Pricing objective Price to achieve a target market
share
Cost Plus Pricing Buy at wholesale price and mark up
for customer sales
16. The Marketing Mix Continued
Promotion:
Push Marketing Strategy
Advertising budget based on task approach
since advertising will be more expensive in the
start up stages of the business
Using a combination of non-personal and
personal communication
Palmetto Pitmasterskoozies and cups with
contact information
19. Promotional Giveaways
Koozies:
500 collapsible koozies
Royal Blue with Palmetto Pitmasters’ logo
$1.18 each for a total of $590
Cups:
300 plastic reusable cups
Royal Blue with Palmetto Pitmasters’ logo
$1.12 each for a total of $336
21. Recommendation 1: Join the South
Carolina BBQ Association
Costs $35-$50 for an annual membership
Access to SCBA sponsored cook-offs and events all
over South Carolina, the most notable of which would be
the Carolina Q Cup (state championship)
Help to establish a name within the circuit and act a as
gateway to the national circuit if Palmetto Pitmasters
chooses to compete nationally
22. Recommendation 2: Create a
Webpage
• $11.99/yr to maintain, $5.99 Domain name, $1.99
hosting from GoDaddy.com
• Provide pricing information online
• Provide a feedback form on the website and use good
comments as testimonials on the main
• An incentive to fill out the feedback forms could be they
have a chance of winning a free “Tiger Tailgate” for next
football season
23. Recommendation 3: Personal
Selling
Creating a CRM database of all local businesses,
nonprofit organizations, etc.
Calling contacts from the database to offer special
deals and making community members aware of
Palmetto Pitmasters. This would be especially
important around the summer time when several
people will be having events for Memorial Day, 4th
of July, and company picnics.
24. Recommendation 4: Advertise in
The Orange and White Newspaper
& The Tiger Newspaper
The Tiger Newspaper:
864.656.2167 (Office Phone)
advertising@thetigernews.com
Full Page: $714.13
Half Page: $357.06
¼ Page: $178.53
The Orange and White Newspaper:
Contact information: 864.654.6553
26. Recommendation 6: First Friday
Kick-Off Event
Hand out kooziesand drinks to members of the
community waiting to watch the First Friday
Parade
Interact with the crowd
27. Implementation & Control
Budget per Quarter
Koozies (500): $590
Cups (300): $336
Print Advertisements/Promotions
The Tiger: $180 - $715
The Orange and White Newspaper: Approximately
$900
Print expenses: $150
Miscellaneous expenses: $500
Total: $2656 - $3191
28. Implementation & Control
End of Spring semester 2011
Join SCBA and create
informative webpage
Distribute ads Create and utilize
CRM database
January 1, 2012
Place ads in local
newspapers
Baseball Tailgating
March 4, 2012
Special
Contact CRM
database members
First Friday Parade
September 7, 2012
First Friday and
Football season
kickoff
29. Future Thoughts
Have a small take out store (in the long run) that would serve
as a large kitchen for preparing food and would sell individual
sandwiches and sides to-go.
Create Palmetto Pitmasters T-shirts that would draw positive
attention to the business and peak potential customer interest.
Sell Palmetto Pitmasters BBQ plates/sandwiches at Sporting
event tailgating areas, but you would need to check with
AEROMARK and sign a waiver since it is still on campus:
You can contact:
David Ledbetter: Food Services Director, ARAMARK:
864.656.1603, dledbet@clemson.edu
30. Future Thoughts: National Circuit
$175 annual expense to be a member of the
Operator National BBQ Association
Benefits:
Connect with vendors nationally
Promotion to the BBQ-loving public
Educational tools to help maximize your
company’s performance