The pursuit to further market the brand and business opportunities for Spice Bakery Company by developing a new project – that will introduce specialty cupcakes in domestic and international markets. The new project will entail a defined project to create cupcakes and the marketing segmentation campaign to assist the new project for the specialties cupcakes. The new project will require sustainable financial funding for a successful execution. The food industry market has shown significant interest in Spice Bakery Company as the leader in providing quality cakes with creative flair with unique spices-ingredients and at reasonable prices.Therefore, the Spice Bakery Company has the potential for expanding the brand by introducing tasty cupcakes.
Executive Summary The Spice Bakery Company has been in business over forty years with an extensive tenure of record sales for the many variety of cakes sold on the internet, mail catalogs, 125 grocery stores, and 158 coffee houses. The new expansion into the market of cupcakes will assist in developing a well tailored brand identification process that Spice Bakery Company can elaborate on by the new project to introduce product.The needed financial support for sufficient funding to execute the creation of the cupcakes, the packaging, the distribution, the proposed new contracts with businesses to carry cupcakes, and the marketing segmentation campaign, The branding initiative will also need to be outlined and developed into a successful workable plan for easy implementation and an opportunity to expand into a new horizon of the domestic and international markets (Lamons, 2005).The additional area for consideration is in relation to the prices of the cupcakes that will stay competitor along with the signature Spice Bakery Company’s famous cakes.
The price level that was initially rolled out should have a clause for some flexibility for the ability to negotiate certain terms with senior management of Spice Bakery Company. In doing so, the beginning relationship between the Spice Bakery Company and businesses that carry the products will create an open forum for a promising relationship.There will be times that one particular market either international or domestic might be more realistic to adjust the actual price of a spice. However, in another particular market the price was initially rolled out that the price should stay the same. In the other areas for review, the decision to select the right businesses to go into reliance will be crucial to ensure the place of the product satisfies the need for the development of the product introduction.The location will provide an imperative data on allowing the process of decision making to shape and implement for any negotiating of a business contract.
The location demographics will provide the ability to breakdown the type of customers of the selected businesses. The customers of the selected business will in turn provide information for this new project on what advertising campaigns should be implemented in order to being successful. The Initiative for the New Project for Specialty CupcakesThe creation of the variety of the cupcakes to the markets already purchasing Spice Bakery Company’s cakes provide a profound market to introduce the new product. The fresh ingredients and creative flair that will showcase the signature style of Spice Bakery Company brand. Furthermore, the specialty cupcakes are to follow the same style of presentation that our customers and business-to-business relationships expects.
The objective is appropriate selection of proactive concepts in relation to the ingredients, packaging, and the core messages of the company.The new project for the creation phase will need a five bakery experts to being responsible for the creation of the cupcakes. The two bakery experts needs additional staff of three each that will managed the demand for initiation of the project and the forthcoming orders from our business partners. In the recent research the benefits of business – to – business partnerships is the ability to deliver quality merchandise on time and within agreed amount in the contract (Wheeler, 2006).
The product brand, in which, the specialty cupcakes by Spice Bakery Company has continued to work to solidify a strong holding in the market will be enhanced with a successful launch of new product line. The added bakery experts will occur the needed financial funding of $35,000 to the annual operational budget to ensure that adequate staffing and talent is covered. The amount requested will outline the focused area that could render a successful launch or an unsuccessful one.The Spice Bakery Company has bakery staffs for the cake division; however, the realignment to the new project could short staff the company in negative way to meeting corporate needs. Therefore, the opportunity for infusing new employees with extraordinary talent can assist Spice Bakery Company to an interesting concept for expanding the product line of specialty cupcakes. Pricing Strategy Plan for New Product The research and development team at Spice Bakery Company understands the benefits of offerings a variety of choices in cupcakes to.
The cakes will highlight the favorite holidays and other special occasions to increase the enticement of customers and business establishments ordering more orders. The cakes that will be considered specifically for the internet and mail order catalog edition to draw in potential interest of the specialty cupcakes. The favors are to be signature style cupcakes to reinforce the brand identity of Spice Bakery Company. The perspective in the signature specialty cupcakes provides the coalition between cakes already sold by Spice Bakery Company to a successful introduction of the cupcakes.The actual cost of the specialty cupcake will have a baseline of a starting point of $2. 35 per cupcake.
In this particular range, the cost of the specialty cupcake is within the recommended market usual rate costs. In this route, the flexibility of the cost per specialty cupcake will allow for an attracting proposal to sell to businesses showcasing the product for consumers. The Spice Bakery Company options for a clearer alignment between the businesses will provide a great chance to demonstrate the projected effectiveness of the cupcakes sales presentation.The effectiveness of the sales presentation will highlight the willingness for Spice Bakery Company to negotiate the variances of pricing the specialty cupcakes. The sales presentation will need to be tailored specifically to core businesses already on contract for distribution of the cake product line and the newer contracts to be signed for agreement. The Spice Bakery Company has a current position to adjust the unit price of one specialty cupcakes to a packaging of four in a box.
The four cupcakes in a box at $3. 5 each will provide an opportunity for promoting a signed contract from business.The offer to introduce a flexibility metrics with the businesses contracts will ensure the ability to adjust the initial set price to be re-discussed for a future re-evaluation of the price. In doing so, the benefit will have an impact of the over pricing initiative for all parties involved to monitor the previous analysis of the customer base. The price will be set at initially stated rate per packages of specialty cupcakes and fluctuate over a set time from 90 to 120 days.
The re-evaluation of the price at a particular set time with an agreement with all parties in the business agreement is imperative to ensuring the successful transition of the adjustment. The price will be tailored to introduce Spice Bakery Company into newer international market for the businesses will be able to determine the overall quality of the product. In the pursuit to deliver the finest ingredient for a lasting impression of the specialty cupcakes to deliver quality desserts with newer expectations – that encourage the customer value perceptions to be raised above the normal range.
