Acknowledgement

First we are thankful to almighty ALLAH who gave us the strength & ability to work on such a project & gain tremendous knowledge. With all due respect we also would like to say thanks our instructor Mr. Hassan Raza who have been a great influence on us throughout the project & help us with all the problems we encounter. He taught us & been very polite & helpful. It was indeed due to his effort we achieved success.

Executive Summary

Our project based on Marketing mix modeling on three different variants of Sandwich offered by Bread & Beyond under the umbrella of DAWN FOODS .We have introduced three variants of marketing mix & applied all marketing strategies that should be considered before & after introducing the product. The main reason for selectingsandwich as product is to bring paradigm shift in the market in order to earn more sales because we think company is losing its sales due to various reasons i.e. lack of promotional activities, traditional distribution mechanism and limited access of their products just to the upper class and ignoring huge segment of middle class in Pakistan. Through survey we have analyzed that nowadays people are living in a fast moving life and rely so much on fast foods and ready made safe and healthy foods and products as they are becoming more diet and health conscious, so there is an opportunitylying in the value gaps left by bread and beyond in the market that company can fulfill. With help of three variants we have worked on in order not just be close to its upper class but also identifying and by recognizing the current clout of middle and upper middle class So that their marketing strategies are helpful and beneficial for boosting sales and ultimately generating revenues for the company.

History:

The history book opened up in 1979 when the first ever Dawn bread came in to existence. After successful opening of their plant in Karachi in 1981. Dawn bread is the name that has come to signify quality and freshness in bread products. Prior to the establishment of Dawn Bread, the largest producer of bread products was the public sector. However, this sector could not cope with the demands of the consumer and this when, perceiving a change in the eating habits of Pakistanis, Dawn Bread was envisioned. For purpose of standardization, the company associated itself with FMBRA of United Kingdom in 1990 to bring itself in line with international standards of production, technology, machinery and formulation Now, all the Dawn Bread plants boast of the latest machinery used in the bread-making process and same concept is being applied in the live baking concept under the name of bread and beyond. They are managed by senior food technologists with decades of experience, while those manning the machinery are provided on the job training in congenial working conditions. Taking a responsible place in society, the company is committed to the uplift and development of the society as a whole, and participates in sports and social welfare activities Now after successfully opening of their Bread & allied products plants all over the nation it was time to move on. They were the only suppliers of bakery products who were highly innovated in terms of technology and current industry trends.

One of the most upcoming trends was frozen bakery products. This is where they got their lead and planned to open the first ever live bakery in Pakistan. Upon that the roller coaster ride automatically added on the height and the ride got more exiting. Now B&B has successfully installed 10 sites in Lahore, Islamabad, Rawalpindi and Faisalabad with the plan of opening 6 more by the mid of year 2010.

Bread and beyond Mission statement:

Bread & Beyond is committed in serving the customers the most possible freshly baked assortment either from their live bake off or from the production facility located in every city in Pakistan. Bread& Beyond is committed in providing the safest and healthy product and it starts from auditing their raw material suppliers. They are committed in creating awareness toward safe and healthy products with the correct certifications to back up their claim. Bread & Beyond is committed in creating the new attitude and onsite production of their products. Their efficient R&D is always on a look out on the newest trends in Bakery world and they strive hard to deliver those international trends in Pakistan. They are struggling in updating every grocery store in Pakistan to have a fresh live bakery of any size. The introduction of frozen assortment helps the customer minimize their expenses on baking as they claim to be everyone's baking partner.

The purpose: Create a safe and healthy awareness amongst bakery users. The businessstrategy:
Innovate newer products and introduce them in Pakistan

alongside they help in uplifting or create a new idea for any in-store live bakery.

The Values: Safe and healthy food is the only option they live by & their people are their
strength.

The objective:
Their ultimate aim is to retain the Company customers and create natural preference for their products among our entire consumer based on value for money and most importantly quality and taste.

Target market:

Bread and beyond target market isupper class of Punjab i.e. A+ class. The concept behind the selection of elite class in Punjab was due to the high percentage of Punjabi population in comparison to other provinces or ethnic groups of Pakistan. Bread and beyond launched its live bakery concept in Punjab and its cities like Lahore, Islamabad, Rawalpindi and Faisalabad. Because the major source of Dawn bread sales was getting generated from Lahore population so launching live bakery concept in the form of bread and beyond was a worthy deal.The population comprises several ethnic groups. As of 2009, the Punjabi population dominates with 78.7 million followed by 27.2 million Pashtuns, 24.8 million Sindhis, 14.8 million Seraikis, 13.3 million Muhajirs and 6.3 million Balochs. The remaining 11.1 million belong to various ethnic minorities. In 2007, Standard Chartered Bank analysts and State Bank governor Dr. Ishrat Husain estimated there were 30 to 35 million Pakistanis earning an average of $10,000 a year. Since, we are living in Lahore and most number of outlets is also in Lahore so the target market estimates and market segmentation is also done for Lahore. Our target market includes:

Male 25% Female 55% Adults 15 % Kids 5 % ( influencing their mothers to buy them mostly)

Potential market:
Bread and beyond current target and available market is the upper class segment as we mentioned above but as we can see the current trends of the middle class segment here is a quiet revolution and a clout which is rising.The study, conducted by the Pakistan Institute of Development Economics (PIDE), finds that the size of the middle class in the country is 61 million people.Understandably the middle class is found to be more of an urban phenomenon with its size being much larger in urban areas at both national and provincial levels. Looking at provincial differences in the size of the middle class, Punjab has 37 per cent middle class followed by Sindh 36 per cent, Khyber-Pakhtunkhwa 32 per cent and Balochistan 29 per cent. Interesting trends, however, are observed in rural and urban areas. Among urban areas, Sindh has the largest proportion of the middle class at 56 per cent followed by Punjab 55 per cent, Balochistan 50 per cent and Khyber-Pakhtunkhwa 49 per cent. Punjabs rural areas have the largest middle class at 24 per cent followed by KhyberPakhtunkhwa 22 per cent, Sindh and Balochistan 17 per cent each.Pakistan has a bigger share in middle class than all other countries including India.

Market segmentation:
Market segmentation of bread and beyond is done on the basis of four market demographics which include geographic segmentation, demographic segmentation, psychographic segmentation and behavioral segmentation.As, we mentioned above that the target segment of bread and beyond is upperclass of Lahore. The concept of bread and beyond was targeting the upper class because upper class has 60 -65 % of total money of the country, so catering this niche yet profitable segment was the target of bread and beyond. Lets define the above mentioned four market segmentationcriterias for bread and beyond: 1. Geographic segmentation:

Bread and beyond geographic segmentation is currently in Punjab province. And within Punjab cities include Lahore, Islamabad, Rawalpindi and Faisalabad. Lahore segmentation: Bread and beyond outlets are segmented in geographic locations and areas that contains more of people that belongs to upper class. Its outlets are located in following areas:

HKB Departmental Store Y Block Market, DHA, Lahore Europa Store H Block Market, DHA, Lahore Gymkhana Shoppe The Mall, Lahore Swera Departmental Store Main Boulevard, Opposite Main Market, Shadman, Lahore.

Upcoming outlets: PACE Shopping center Main Boulevard Gulberg Lahore. PACE Shopping center New Building, Model Town Link Road, Lahore Swera II Departmental Store Punjab Society near Wapda Town, Lahore. Gas station segmentation is also there and selection of TOTAL petrol and CNG pump was done after a survey that resulted inthat mostly upper class fulfills their petrol and CNG requirements from TOTAL pump. And TOTAL pump has also very sophisticated tuck shop. Keeping the perishable nature of bakery items bread and beyond has just introduced its sandwiches range of BBQ sandwich, chicken tikkasandwich, chicken sandwich, chicken bran bread sandwich, and club sandwich along with few quantity of their cookies and muffins estimated according to the daily demand of customers.

2. Demographic segmentation: Variables defined for bread and beyond demographic segmentation are given as follows:

Gender: includes both male and female and kids.

Age: kids (5 to 14), male (20 to 65), female (20 to 55). Income (1 lac plus). Size of household(2 to 5) people including kids. Education:for male and female is graduate and masters, for teenagers it is O level and A- level mostly.

Occupation: business class, professional occupations. Location:currently in DHA, cantonment, shadman. Upcoming in model town,Gulberg and wapda town.

GDP:123 billion belongs to upper class. Annual growth rate of Lahore population:3.32%

3. Psychographic segmentation:

Lifestyle: bread and beyond focused also on the life style patterns of its target market i.e. upper class on the basis of how they spend their time, energy and money. E.g. Time i.e. what activities they indulge in their leisure time. Bread and beyond consumers have usually lavish life style. They are health conscious and fitness holic people. They have joined gym and attend social parties etc.

Brand personality of bread and beyond consumers is:Sophistication(upper class and charming), competent and innovators (reliable, intelligent and successful),and achievers.

4. Behavioral segmentation:

Bread and beyond consumersusually play decision roles that have very strong influencing power. They are usually initiator and influencer as they belong to upper class i.e. niche of bread and beyond.

As the consumers of bread and beyond are upper class category people they have very fast moving life style too so they prefer ready made products more so they usually buy bread and beyond products when they usually go for work, getting lunch for their kids while dropping them to school in the morning, or while driving back to home while picking kids from school or coming from their work, and they also buy during their snack products for evening tea and also for guests serving.

These consumers are road warriorsi.e. they can pay premium for quality and products that match with their life style taste preferences.

Their user statusis: heavy users. Their usage rateis: heavy to large. Their loyalty statusis: hard core sometimes but mostly split loyals. I.e. loyal to two or three at same time. Where ever they get good quality products/ services they will go for it.

Their attitude is mostly positive and enthusiastic.

Positioning:
Under the parent name of DAWN which define quality, freshness and reliability. Bread and beyond is positioned and aims to position itself in the market i.e. in the minds of consumers as a safe, healthy and naturally fresh source of bakery products under the concept of live bakery.

Competitors:
Direct competitors:

Jalal sons (they are also giving live bakery concept). Kitchen cuisine

In Direct competitors:

Gourmet bakers. Shezan. Caf masooms.

Green marketing by bread and beyond:

Bread and beyond ideology is based on freshness, safe and healthy bakery products so bread and beyond also uses such material that is fresh and depicts greenness of its bakery products. Live bakery concept shows how much level of freshness is there and by not using any outdated or expired material in their products. They arent using plastic shopping plastic shopping bags. But if we see the green marketing strategy matrix then they are lying in the lean green matrix because they he arent very high on the green marketing and they also hesitate to show much.

Product line:

1. White, Bran Plain, Pita Whole Meal Multi Herb Oregano Oatmeal Sundried Tomato, Ciabata,

Bread

Foccacia Herb Walnut Multigrain Mini Baguette Corn Onion Sandwich

2.

Baguettes Plain Bran garlic

3. Bran

Bread rolls

Plain kalongi, Poppy seed).

4.

sandwiches B.Q Sandwich Tikka Sandwich , Chicken Salad, Chicken TikkaSandwich, Chicken BBQ Sandwich, Roasted Chicken Sandwich , Chicken Salsa Sandwich , Chicken Salad in Croissant , Croissant Sandwich chicken Grill Chicken in Bran Bread , Grill Chicken , Bran Classic , Classic Sandwich , Club Sandwich ,

Grill Chicken in White Bread, Mustard Olive Chicken, Mushroom Chicken Sandwich).

5.

cookies Chocolate Chip White Chocolate Chip Double Chocolate Chip Assorted Biscuit Oatmeal Raisin Multi Cereal Dates Almond.

6. Pineapple

Pastries

Apple Blueberry Chocolate Pillows Strawberry Apricot Custard Cream Custard Cream Chocolate

7. Plain Apple Cinnamon BananaNuts Chocolate Chip Blueberry Explosion Bran Pineapple Coconut

muffins

8.

Pound cakes and cakes Old Fashion Butter Choco Vanilla Lemon Butter

9.

Pizza Tikka Ala Fungi Romana Pizza Margaretta Mini Pizza Chicken Tikka Chicken Tikka Mini Pizza Chicken Fajita,Chicken Mini Pizza Chicken Tandoori Mini Chicken Pizza

10.

Croissant

Chocolate MiniChocolate Plain Butter Plain Mini Plain Coffee Cheese Almond

11.

Patties Chicken Sausage Puff, Mushroom AlferadoPuff, ChickenKhara Masala Puff Chicken Kabab

Chicken White Sauce Chicken Green Masala Puff Vegetable Curry Pattie Chicken Shaslik Puff Tuna Puff Chicken Tandoori Puff Chicken Pahota PuffChickenTikka Puff

12.

burgers Chicken Chilli Garlic Burger Hot Dog Chicken Burger Hot Dog Beef Burger Chicken Shawarma, Chicken Roll Vegetable Roll Chicken Sausage Roll Chicken Kabab Roll

Chicken Sausage Toast Chicken Kabab Toast

13. Plain Triple Chocolate Triple Decker Walnut Hazelnut Almond Chocolate Fudge Vanilla Fudge

Brownie

14. Burger buns 15. Plain Tart

Plain lemon Red berry cheese 16. Rusk plain

17. Soup stick 18. Frozen 19. Miscellaneous Plain soup stick

Available products on outlets:

Bread and beyond offers more than 19 varieties of bakery items but in their live bakery outlets exclusive for bread and beyond bakery products doesnt have all the products available in their outlets, i.e. every product has only few most demanded product varieties available. The products that are available are given has follows: Product Bread Product variety

White Bran Plain Pita Whole Meal Oregano Oatmeal Herb Walnut Multigrain MiniBaguette Onion Sandwich Plain Bran Bran plain kalongi B.Q Sandwich Chicken Salad

Baguettes Bread rolls

Sandwiches

Chicken Tikka Sandwich Roasted Chicken Sandwich Chicken Salsa Sandwich Grill Chicken in Bran Bread Bran Classic Classic Sandwich Club Sandwich Grill Chicken in White Bread. Chocolate Chip Assorted Biscuit Oatmeal Raisin Apple Strawberry Custard Cream Plain Cinnamon Chocolate Chip Bran Old Fashion Butter Choco Vanilla Lemon Almond.

Cookies

Pastries

Muffins

Pound cakes / cakes Pizza

Mini Pizza Chicken Tikka Chicken Tikka Fajita,Chicken Mini Pizza Chicken Tandoori Mini Chicken Pizza Chocolate Mini Chocolate Plain Butter Plain Almond Chicken Sausage Puff, Mushroom Alferado Puff

Croissants

Patties

Burgers

Chicken Chilli Garlic Burger Hot Dog Chicken Burger Hot Dog Beef Burger Chicken Shawarma, Chicken Roll Vegetable Roll Plain Walnut Almond Chocolate Fudge Plain Plain lemon Red berry cheese Micelle nous Plain soup stick Plain

Brownie

Burger buns Tarts

Frozen Soup stick Rusk

Frequently purchased products by consumer:

Price range of sandwiches:

RS. 65 TO RS. 135

Most purchased sandwiches and their price:

Chicken tikka RS.135 Chicken fajita- RS.135 Plain chicken salad sandwich-RS.65 Club sandwich RS. 115

Shelf life:

Expiry date is there for sandwiches which is a week.

Distribution:

Distribution strategy:

Exclusive distribution strategy is used where selective retailer like al-fatah, HKB, swerastore, Europa store, gymkhana shoppe mall of Lahore, and TOTAL pump have bread and beyond products.

Exclusive bread and beyond outlets that are located in main market, DHA and model town.

Incentive plan for suppliers include discount offers.

FIFO (first in first out)method is there. Distributors incentive is based on defined monetary value on regional and local level.

Promotion:

Newspaper insert in daily times newspaper. Ad in Sunday daily times Facebook fan page (contests are there to promote their products and involve consumers and engage them either in conversation or contest, content marketing plays very important role for bread and beyond Facebook fan page).

Hoarding. Public relation events are there while inauguration of theirnew outlets or any new product range which involves media, daily times coverage.

Advertisement is mostly done whole year but in few months they are advertised regularly four weeks in a month they advertise in interval i.e. if they are advertising in January all month then next month they will advertise once only and so on for whole year. Excluding muharam month they dont advertise in this month.

Promotion expenses:

For Sunday daily time the cost of each ad is Rs. 25,000, and Rs. 3000 for the design they get from their ad designers which they outsource from outside agency which makes e. Size of ad in Sunday daily times covers the whole page of A4 size. Expense of ad around RS.28, 000i.e. For11 inch length and 7 inch width. Daily times policy is that you have to pay for whole page and not certain space on it.

For certain space they advertise in newspaper i.e. daily times in form of newspaper inserts. That costs them Rs.15, 000 for 5 inch length and 6.5 inch width.

Total budget for bread and beyond social media promotional activities is RS.100, 000. They invest maximum in social media. I.e. Facebook.

Social responsibility by bread and beyond:

They are involved in social responsibility by giving funds to different dumb and deaf institutes.

Sales Data of sandwiches:

Bread & Beyond Data of Sales
Avg Daily Sales Description Total Unit Sales on Own Outlets 8 29 32 7 76 Total No. of Retail Points 35 30 30 25 120 Total Daily Sales on Retail Outlets 70 150 90 50 360 Total Unit Sales Montly Sales Quarterly Sale Annual Sale

Outlet Outlet Outlet 1 2 3

Retail Points

Price

Sale Amount

Simple Club Sandwich Chicken Tikka Chicken Fajita Others Total

2 10 11 3 26

3 8 9 2 22

3 11 12 2 28

2 5 3 2 12

78 179 122 57 436

60 130 135 145 470

4680 23270 16470 8265 52685

140,400 698,100 494,100 247,950 1,580,550

561,600 2,792,400 1,976,400 991,800 6,322,200

2,246,400 11,169,600 7,905,600 3,967,200 25,288,800

Demand estimation for bread and beyondsandwiches : Bread & Beyond Estimating Demand for Sandwiches
%age of Consumer %age Total sandwich of of Population users in Sandwich Class in Class Upper in Class class 2% 173,664 77% 1,337

City

Population (Millions)

Urban Population of Lahore 8,683,20 0

Target Class

Weekly Consum ption Rate 3

Forcaste d Demand Weekly 4,01 2 14,83 1 18,84 3

Monthly Quarterly

Yearly

Lahore

10,720,000

Upper

16,047

48,140

192,55 9 711,88 3 904,44 2

Middle

28%

2,431,296

31%

7,415

59,324

177,971

Total

8,753

75,370

226,111

Market Share of B&B Demand for B&B Sandwiches

70% 633,10 9

Marketing mix model:

First of all, lets give a little reminder on what paradigm shift is and how and why its interlinked with the variations that will in result bring paradigm shift in the product itself. For the purpose of bringing a paradigm shift i.e. a fresh air or a new change into the existing situation or strategy of the product on the basis of 4Ps of marketing, its very important to understand that paradigm shift focus will be on one of the Ps of the marketing mix but eventually the other Ps will automatically change to a paradigm shift too because when we want to being paradigm shift we have to cross evaluation also to see whether the other department that of the company and the experts in those department dealing with price, promoting, placement and product itself are agreed to the paradigm shift in the product on the basis of constraints like cost, time and the resource . From the bread and beyond company we have selected the product which is sandwich, so the paradigms shifts will be brought within sandwiches in the form of three different variants. Lets give an overview of the three variants: 1. First variant of bread and beyond sandwich : Our first paradigm shift will take place in the form of a variant of sandwich. According to this variant we will be offering the variation in the product itself on the basis of its shape, size, and packaging. Three different sizes of meals will be offered along with associated products (juice, milo, tea, coffee, beverages, energy drink as well), linked to this meal that would be available in three different sizes, i.e. small, medium and large. Along with this meal variation we will also bring a special variation in the size, shape and packaging of sandwiches for kids, i.e. Sandwiches will be shaped in form of kids most wanted and favorite cartoon characters. Lets now see its marketing mix model:
1.

Product (sandwich):

As we have above mentioned that the product will be sandwich and the variations we will bring would be in packaging, size, shape, and colorand images. These would change according to occasion wise e.g. package and color and images on it would be different for eid,Christmas, New Year etc.

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There would be three different sizes i.e. small, medium and large. The sandwich we will use for this variant of three different sizes initially we would offer inmost purchased and sandwiches by the consumers which are chicken tikka, chicken fajita, club sandwich, bran chicken sandwich and simple chicken salad sandwich which are bought 80% more in comparison to other available sandwiches. These meals would be then served like a combo combined with two associated product.

The associated products for sweet category will also include the most purchased and bought sweet items , which are pastries, brownies, muffin , cookies and pound cakes. These are also bought more than 70 % in comparison to other sweet category products of bread and beyond. The reason behind going for associated products is because bread and beyond wanted to create a brand portfolio i.e. combination of two or more products together in order to meet the multiple segment of different age group and different taste preferences. In order to attract our target segment so they dont switch to other brands for more variety combined under one combo or meal package. By this we will be able to gain product differentiation because as such above

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mentioned earlier competitorsarent offering meal packages.so bread and beyond will fill the value gap.

Beverages category would include: nestle juices, milo, instant tea,coffee, and energy drink that will be red bull.

These packages would also be available for birthdays party, business conferences, seminars, engagement party and many more occasions.

These meals will also be given the choice of customization i.e. they can tell what sandwich they want in the combo along with what sweet product they want i.e. pastry or cookie or muffin and what beverage they want e.g. tea , coffee , juice etc.

Packaging will be doneaccording to size. I.e. small, medium and large

Target market for this combo meal:

Male Female Adults Working class Professionals Teenagers College going students

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School going students House wives (who mostly have to deal with breakfast purpose i.e. what they give to their kids for school, and these meals can be used for tea time and snack time purpose).

For kids:

The variations in the size,shape, packaging and color combination would be very different and interesting keeping the age and interests of young little kids. Wewill give them meals I.e. combo just like we will be giving to above mentioned target segment for those combos. But the difference would be in the shape that would be mostly in different cartoon characters. The package would also be based on different cartoon characters that most famous in young girls and boys. This will include initially: Benten Angry birds Superman Barbie.

The sandwiches available for kids would be:

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simple chicken salad sandwich and chicken tikka and Chickenfajita, keeping the spice level low according to kids taste buds.

Product level: the customer value hierarchy:

With this variant bread and beyond can reach to the level of augmented product and hence meet the value gap and give value to the end consumers. Before this variant bread and beyond is limited to the level of expected. This variant will help them attain more sales, more satisfied customers.

Price:
Bread and beyond pricing strategy is cost plus profit pricing strategy. Cost plus 20% profit. So, for meal combo package in 3 different sizes price would be as follows:

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Small meal, Combo 1: Chicken tikka= rs. 105 Nestle juice/milo/tea = rs. 25 Plain Muffin/ pastry/cookie/pound cake = rs.45.

Total175 + 40 is the profit. Price =rs.215 In case of beverage as red bull ( rs. 65) price would be = rs.235 In case of simple coffee ( rs. 35) it will be = rs. 225 *Different coffee flavors price will vary accordingly.

Medium meal, Combo 2: Chicken tikka = rs. 125 Nestle juice/milo/tea = rs. 25 Plain Muffin/ pastry/cookie/pound cake = rs.45.

Total 195 + 40 is the profit. Price = rs.235 In case of beverage as red bull (rs. 65) price would be = rs.275 In case of simple coffee (rs. 35) it will be = rs. 245 *Different coffee flavors price will vary accordingly.

Large meal, Combo 3: Chicken tikka = rs. 135

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Nestle juice/milo/tea = rs. 25 Plain Muffin/ pastry/cookie/pound cake = rs.45.

Total 205 + 40 is the profit. Price = rs.245 In case of beverage as red bull (rs. 65) price would be = rs.285 In case of simple coffee (rs. 35) it will be = rs. 255 *Different coffee flavors price will vary accordingly.

Placement:
As the variant we have mentioned above will be different for kids and different for other target market defined above i.e. male, female, working class etc. so the distribution techniques and strategies would different too. For target segment other than kids distribution would be like this:

Distribution for kids:

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Online distribution for both target segments:

Through website they can select the meal packages and also other products other than combo meals package anorder online and delivery would be free only for the area in which the outlet exists. These areas include DHA, Model town, and main market.

Using the social media toolkit which includes Facebook, twitter, where they are connected to the fan pages and they have made a special option for placing orders by connection directly from their Facebook and twitter profiles to their website where consumers can order and they will be giving option of paying through credit card or direct payment, order is selected and delivered within 45 minutes.

Call on their numbers and get the order delivered.

Promotion:

Social media (Facebook) Hangers placed on the electric polls on the small green belt within the middle of the road. These bannerswill be used in DHA Y block market road, main market round because these are the most populous areas where maximum number of upper class visits for their shopping purposes, these banners will be used 1 km before that reaches the traffic signal poll of above defined areas. Each banner would be of 30 inch width and 40 inch length and as we are using two areasinitially and for each area 1 km and in 1 km 10 hangers will be used and for 2 areas we need 20 bannerthat will cost Rs. 2000 Per banner. Total cost becomes Rs.40, 000. Butbread and beyond will outsource same agency it uses for its ad design in Sunday daily times.

And RS. 8,000 for each area that makes rs.16, 000. Total cost Rs.46, 000.

Retail store (al- fatah, HKb, floor posters ads). The space taken on the floor would be90*135 cm. that will cost Rs.8, 000 for each floor ad. Total is Rs.16, 000.Agency would remain same for this as well.

Live models (letting consumers taste and know their live feedback). Stalls will be own property of bread and beyond.
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Cricket ground advertisement whenever some tournament will take place in Lahore and on both local and international level,for qaddafi stadium the cost of board will be Rs. 2500 and for local ground opposite qaddafi stadium is Rs. 1500 perboard.

Morning shows i.e.promoting. Breadand beyond sandwiches and meal packages and kids packages , uthojago Pakistan on geo TV, the sandwiches , muffins, cookies, pastries and pound cakes will be introduced which will cost on per unit cost of each item introduced or used in it plus the fee of TVchannelpromoting bread and beyond. Cost will get to Rs. 50,000 for 1 day including the products that are used, banners for promotions.

Cinema curtain flowing with bread and beyond sandwiches and meal and kids packages promotion only in DHA cinema that will cost around Rs.1000 per frequency and frequency would be according to shows in 1 day in that cinema which is 3 shows in 1 day means 3 exposure and 3 frequencies. This makes total cost of Rs. 3000.

Local buses advertisement i.e. posters on buses that routes to model town only will cost Rs. 4500 for only 90*135cm space on the bus initially only 1 bus will be used .

Mobile instant messages containing new offers to existing consumers. Physical marketing i.e. Parks bench shaped into a sandwich and Hyper star, metro , makro elevators with bread and beyond ads will be used in DHA y block park. Only two benches that are located in the most populous side of the track of the park will be shaped according to bread and beyond logo that costs Rs. 5000.

Putting website on notepads, pens, newsletters, bumper stickers, coffee cups being used in bread and beyond outlets and retailers and total cng pump and distributing them to target segment of consumers. That will be bread and beyond own property.

Total budget for promotion for this variant isRS. 127,000.

2.

Second variant of bread and beyond sandwich:

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Our second paradigm shift will take place in the form of a variant of distribution. According to this variant we will be offering the variation through a distribution channel of mobile van named eat fresh. Eat fresh Van will provide our most purchased product to the university/college students of A+ with in the university/college premises. Here we can also provide our customers with our first variant of combo meal packages including sandwich of their choice, a sweet baked item and a coffee or tea. The colleges/university might include Aitcheson College, FC College, Kinnaird College, Lums, NCA FAST NU and GCU. Eat Fresh sales comprise the process of selling the goods from distributor to customers through van. This mode of distribution will makes our product within the range of our selective target A+ customer as it eliminates all the distribution layers between the producer and the buyer. Description Cost

Vans Rs 600,000-700,000 per van Glass Refrigerator with capacity of 50 cakes of 1pound Fuel Charges Diesel: 107 per litre Petrol: 103.36 per litre Monthly Service Providing Staff 10,000 per person Rs. 270,000-300,000

Product Mix:
Our product mix would consist of our most purchased products like pound cakes, pastries, pizzas, patties, rolls, brownies and cookies. Here we will offer the medium sized combo packages instead of offering large sized combo packages at relatively lower price than the large size. The size of the above stated individual items would also be relatively smaller than the normal large sized items at a lower price range. This would give our customers a perception of lower price as our customers in this case are students who are somewhat price sensitive and also this strategy would give them a room and craving to buy more due to its size. The Eat Fresh Vans would also have the glass refrigerators for maintaining the freshness of the bakery items offered.
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Price:
The pricing mix for this variant will change as we are following the direct Sales distribution model which increases the availability factor to the customer and would also address the freshness and hygienic factor ultimately increase the customer reference pricing for the products. So would charge a higher price to the medium sized meals as compared retailers. Here all the costs from the Van services will be covered by the profit margins of reference pricing.

Pricing mix of items in B&B Bakery Pricing Mix of items using Eat Fresh Vans Medium Chicken tikka Rs. 125 Medium Chicken Rs. 135 Plain

Medium Plain Muffin/ pastry/cookie/pound cake Muffin/ pastry/cookie/pound cake Rs. 45 Rs. 35

Rs.40 Medium

Coffee/ Tea

Rs. 30 Coffee /Tea

Total 200 Total 215

Distribution:
The distribution technique used in this variant of Eat Fresh Vans is called direct sales distribution model according to which all the intermediaries in the conventional distribution of the consumer goods are eliminated giving an extra control to the company over the product. But it is the most costly one because it requires large number of direct distribution tools like vans. Since our vans can be used as both the distributional tool as well as a promotional tool so we would have a margin to save our costs on these lines. Using this type of distribution we are basically exclusively targeting our selective customer i-e the A+ and upper middle class within the described boundaries of universities and college. we have used Eat Fresh Vans as our distributional tools because: Gets target customers attention.

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Helps the customer to see the value of the product or service. Makes the customer feel comfortable that the seller can be trusted and the product is

easily available. Ensures that the customer has a way to receive the goods or services.

Fig: Conventional Distribution Channels

Fig: Direct Sales Distribution Model

Promotion:
The promotional tool in this case would be the Van itself as it would only be in the college premises continuously roaming around at specific hours. The Eat Fresh Vans would be decorated with the bran brown color of bread and beyond emblem with the pictures of pastries, sandwiches and cakes on it. Here positive word of mouth would also come into play as it is a unique, fresh and easily available service so the demand of customers would increase
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drastically as compared to the competitors. Putting website on notepads, pens, newsletters, bumper stickers, coffee cups being used in the Eat Fresh Vans and distributing them to target segment of consumers. Mobile instant messages containing new offers to existing consumers can also be used here.

3. Third variant of bread and beyond sandwich : Our second paradigm shift will take place by keeping our focus on promotion. According to detail analysis we came to know that brand awareness of Bread & Beyond is not sufficient in target market. Plenty of our target market is still unaware about our brand especially upper middle class due to lack of promotional activities. Currently company is only using one of the variables from promotional mix i.e. advertising and in Advertising they are currently using only news paper insert and an ad in Sunday magazine of Daily times. They have also created a facebook page for promotion with the help of creating a small contest in which users are asked to attract their friends towards the page and like it. However I think so they are lacking behind in their promotional activities from their customers. Lets now see its marketing mix model:
2.

Product (sandwich):

Our product is fresh and hygienic sandwich for the people who usually want to eat fresh and healthy diet. Our product has 400 to 600 calories as it is available in 17 different varieties. The detail of each product mix is given below: Size: The product is available in standard size i.e. Medium or we can say half bread size. Shape: The product is available in only one shape which we can usually see for sandwiches i.e. Triangle shape. Product Variety: The product is proposed in 17 different delicious varieties but currently it is offered in 7 different verities anging from simple club sandwiches to chicken tikka, chicken fajita, chicken BBQ sandwich, chicken salad, roasted chicken, and chicken salsa
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Packaging: The packaging for product contains a thin paper on which logo of Bread & Beyond is printed and a white color strap is rolled around the package.

Price:
The pricing strategy of Bready and beyond is simple cost plus profit. The target profit for each product is 20%. Hence the price formula for each product is Price = cost +20% profit Price of each category of sandwich is given below Simple club sandwich Chicken tikka Chicken fajita Chicken BBQ sandwich Chicken salad Roasted chicken Chicken salsa Rs. 65/Rs. 135/Rs. 140/Rs. 135/Rs. 95/155/165/-

Placement:
Distribution is the most important part of the marketing plan for the food items. The production facilities are in company own factory. While it has its own 3 outlet in high class areas of Lahore i.e. Model Tow, Main market and DHA phase IV. Bread & Beyond uses its own vehicles to carry out products from factory to the company own outlets. Company is also distributing its product to retailer. The company is currently working with more than 500 big and small level retailers. The diagrammatic view of distribution of the product is like this.

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The big retailers of the company includes HKB Al-Fatah

Sawera

Srmad Store

Retail Contracts In order to smooth functioning of business with retailers company has signed legal contract with all of its retailers which include clears term regarding the delivery timing of the products, trade prices of the products, expiry back of the products, penalty in case of back out before expiry of contract and incentive given to the retailer. Retailers Incentive and Payment Plan The incentive given to the retailers is the margin from the retail price and trader price. The margin is 10% for all small retailers however big retailers like HKB, Al-fatah, Sawera put the

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prices of the products according to their plan with the consent of the company. The payment to retailers is made on monthly basis.

Promotion:
Promotion has been defined as the coordination of all seller initiated efforts to set up channels of information and persuasion in order to sell goods and services or promote an idea. Because our focus of bringing paradigm shift is on promotion so we have designed our promotional campaign very carefully. I have selected following promotional tool to design my promotional campaign Advertising Public Relations Sales Promotion Advertising Advertising is the best-known and most widely discussed form of promotion, probably because of its pervasiveness. For advertising I m going to used following medium Newspaper Local Cable TV ads Hangers Skins Newspaper For news paper advertising I have selected Daily Jang, Daily Times on fortnightly basis. The add will be focusing on fresh and hygienic aspects of the sandwich. The detail is given as under: -

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Sr. No. 1 2

Name of Newspaper s Dawn Daily Jang

No. of ads /month 2 2

Size of Advertiseme nt Quarter Page (Front Page) 7 cm x 1 col

Rate of front Page ad/day 14,040 3500

Amount Charged Monthly 28,080 7000/-

Total= 35080/-

Local Cable Tv ad
Name of Cable TV World Call Wateen Prime Timing Days to run Frequency Total Cost in campaign

8:00 Pm to 11: 00 PM 8:00 Pm to 11: 00 PM 8:00 Pm to 11: 00 PM TOTAL

15 15 15

After every 15 Min After every 20 min After every 15 min

80,000/50,000/65,000/195,000/-

Hangers Hangers will be placed on pools on the road for the distance of 50 meter. The size of the hanger will be 5x3. For placing hangers on the roads in Model Town, Main market and DHA we will first take permission from Director Public Relation of these areas mentioning the duration and areas where we will place our hangers. The cost of each hanger Rs. 2000/-. We will be required 20 hangers to cover 1 km of distance. So the total cost for hangers will be 40,000/-. While for placing hangers we will have to pay Director public relation 20,000/- for grant of permission as fee for each three areas. Skins
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Skins containing the message of hygienic and fresh products will be placed in retail shops. The skin will contain the message of fresh and healthy diet and the calories for sandwiches will be mentioned on it. Initially we have planned to place the skins for 15 big retailers. The cost for each skin will be Rs 4000/- which will include the cost of the stand. So the total cost for skins will be Rs.60,000/Public Relation A public relation is defined as the management function which evaluates public attitudes, identifies the policies and procedures of an individual or organization with the public interest, and executes a program of action to earn public understanding and acceptance. For this promotional mix I have selected special publication of Bread & Beyond which contains the healthy diet plan for the customers. It also contains the information about the products of bread and beyond and calories will be mentioned for each of the product. Sales Promotion The next variable in the promotional mix is sales promotion, which is generally defined as those marketing activities that provide extra value or incentives to the sales force, the distributors, or the ultimate consumer and can stimulate immediate sales. Sales promotion is generally broken into two major categories: consumer-oriented and trade-oriented activities and I have included both of them for boosting the sales of sandwiches Consumer-Oriented Sales Promotion This is the sales promotion activity for consumer of the product. In this activity Cold drink like Coca Cola is integrated with the product if consumer will make 3 purchases or more they will be offered disposable Coca Cola (220 ml) for each three units of the product. Trade-Oriented Sales Promotion This is the promotional activity for medium and small level retailers. They will be given sales targets on monthly basis and if a retailer will be able to meet its target they will be offered 10% discount for next supply of sandwiches which will be added in their profits.

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