Report F&B

Topics: Bread, Cake, BreadTalk Pages: 9 (2272 words) Published: January 10, 2009
Marketing Management Project


1.1 Company Background
1.2 Vision and Mission
1.3 Awards

2 Macro-Environment Analysis
2.1 Natural Environment
2.2Culture Environment

3Product Line
4 Evaluation & Recommendation of Marketing Strategies
4.1Market Penetration
4.2Product Development

5Mission Statement


1. Company Background
BreadTalk Group Limited is a listed bakery based company in Singapore. It was founded in April, 2000 and is currently operating a chain of retail outlets through its principal subsidiary, BreadTalk Pte Ltd, selling a wide range of breads, cakes, buns and pastries. In Singapore, the Group currently has a chain of 24 retail outlets island-wide, and at the same time, BreadTalk is seeking to expand their franchise network to Asia Pacific region like Indonesia, Hong Kong, the People's Republic of China, Philippines, Malaysia, Taiwan, India and also to MiddleEast countries.

1.2 Vision and Mission
Establish BreadTalk as the foremost international, trend-setting lifestyle bakery brand
Leading a new lifestyle culture with new, innovative changes and creative differentiation to craft products with passion and vibrancy [pic]
In the bread business, BreadTalk was recognised with multiple awards as shown below. These awards show its branding and business successes. (refer to Annex 1)

2 Macro-Environment Analysis

2.1Natural Environment
As a confectionery, the main raw materials for BreadTalk’s product line (buns and cake) include flour, yeast, eggs, sugar, and butter. At the same time, these buns will need to be compliment will meat, vegetables and/or fruits.

In the current change in market recently, commodities price has greatly affected the profit margin of the company. The rising of food prices globally are mainly due to either natural disasters (e.g. flood) or rising oil prices. The wheat producing countries that are affected by the natural disasters causes a drop in supply for wheat. As the demand for wheat remains constant, and this drop in supply will thus causes the price of wheat increase. This will then causes the price of flour to increases too. In addition, natural disaster such as bird flu has also caused a drop in supply for eggs, causing the price of eggs increased. Both supplies to produce buns and cakes will then affect the company in the profit margin. However despite an increase in food costs, the group is still able to pass on most of the food costs through price transfer and by generating higher sales per store.

Furthermore, with the huge increase in oil prices recently globally in the past year, this has also affected the company in the cost of transportation in importing supplies from the suppliers from the neighbouring countries.

2.2Culture Environment
Singapore, being a country with people from different races, countries, cultures and preferences, it is important to cater the business according to these different individuals. So BreadTalk decided to come out with wide variety of buns and cakes to suit these people’s preferences and habits. And with such a concept that they have, BreadTalk has now become a distinctive Singapore brand in just over six years,

As Singaporeans are more up-to-date of the changes in market these days, they love to look for interesting and creative ideas. And BreadTalk is able to realise this market change and thus instantly came up with this concept to cater to this group of people. Since serving up its first baked creations in 2000, BreakTalk has evolved into an award-winning boutique boasting over 500 different breads, buns and cakes, each with its own unique name, personality and flavour.

As Singaporeans have become more health conscious these days, BreadTalk has come up with healthier choice of bread such as milk loaf, carrots loaf and green tea loaf. Furthermore, all the bread...
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