RESEARCH PROPOSAL

Research Proposal

Research Proposal

Introduction

The frozen food market segment is a highly developed, highly competitive market and is expected to continue to grow over the next several years. A recent economic recession has led to lower-priced frozen entrees over the past five years. Consumers have developed a purchasing pattern that could be critical to the marketing of Buy the Slice Pizza. Buyers appear to be drawn to convenient, low-priced frozen entrees over more expensive, low-preparation products. One of the fastest growing niches within the frozen food market segment is the snacks and mini-entrees niche. Items such as hamburgers, fries, chicken, small hotdogs, and pizza are rapidly being sold as single-serving items.

The frozen pizza market category accounted for approximately £1.9 billion in retail sales in 2000. Several new niches are appearing within the frozen pizza category, which could affect the success of Buy the Slice Pizza. Most gourmet-frozen pizzas are high in sodium, high in cholesterol, and high in fat. Because it is in the introductory growth stage, the frozen pizza market has the potential to be highly profitable.

Low-calorie, healthy pizza was first introduced in the early 1980s when Jenos introduced a line of low-calorie frozen pizza. Unfortunately, the pizza never made it onto the market because Pillsbury bought out Jenos shortly after the product was developed. The market for low-calorie frozen pizza escalated in the late 1980s when Weight Watchers introduced a line of low-calorie French-bread pizzas. On the negative side, many consumers perceive that by increasing the health benefits of foods, many manufacturers must sacrifice the quality of a product's taste. A delightful-tasting, low-calorie frozen pizza would be a profitable entry in this niche.

Research Objectives

Pizza is a favorite food among many Americans. In fact, it is estimated that each United States citizen consumes approximately 20 pounds of pizza per year. Pizza is acquired primarily from restaurants and grocery stores. Grocery store pizzas are generally frozen, and provide for a quick, convenient meal that can be made at home. The healthy frozen pizza market is a contemporary and competitive market, which means that it will require advanced marketing and marketing communication.

Sunny Inc is planning to introduce a pizza in the healthy frozen pizza market by developing a quality product derived from an immense amount of consumer input. The product will be called Buy the Slice Pizza, and will be marketed as a premium, low-calorie, healthy frozen pizza.

-         Generate new income for Sunny Inc by increasing market share by 20% within one year.

-         Achieve a 40% trial of the target market.

-         Achieve 80% product awareness.

-         Become the number one frozen, low-calorie, healthy pizza in the market within 18-24 months.

-         Achieve sales revenues of £15,000.000 in first-year markets.

-         Achieve a 10% annual growth rate in real earnings.

Buy the Slice Pizza will achieve its goals by introducing a product that will provide a healthy, quality tasting, low-calorie, frozen pizza for consumers at a price below its competitors. The company wants to have an entry in the healthy frozen pizza niche that consumers ...