Healthy Dog Gourmet ADV370J/PR367 MWF 8-9 Eric Webber Name(s): Paige Kroll UTEID: pk5926 Case: 8.2 Healthy Dog Gourmet Date: 10/19/15 Problem Statement: Business partners, John Kirk and Paul Fry, are creating an organic pet food brand that will be sold in Kirk’s Austin veterinary clinic. The company needs to make a statement in an existing market in order to bring in customers to the clinic to try the new brand and generate repeat purchases. Opportunity Statement: Healthy Gourmet and the veterinary clinic are planting their roots in a large community of pet lovers. With a growing number of organic pet food sales, the company can enter a market where customers have the budget and the willingness to purchase higher-end pet food. Critical Factors: • The population of the City of Austin is 900,701, with 9.74% of the population being women ages 25 to 34 and 10.96% of the population being women ages 45 to 64 (SimplyMap). • Austin is a city with a wealthy and diverse population. • Austin is pet-friendly, with the well-known fact that Austin has more pets on a per capita basis than most cities of its size. • Organic pet food use by U.S. pet owners is growing at a rate of 15% a year. • Pet owners who purchased organic pet food stated that they did so because they did not like the chemical elements found in conventional pet food. • In a survey of the 300,000 households in Austin, 43% had at least one dog. • 86% of pet owners treat their pet like a member of the family (Mintel). • The new veterinary clinic is in a higher-income area of the city with one other veterinary clinic located nearby. Solution: Target: Young Professionals and Empty Nester Women Women are the target market for this media strategy with a focus on two different groups of Austin women: young professionals and empty nesters. Of all U.S. female pet owners, 70% are the sole purchaser of pet food (Mintel). The young professional women are primarily college graduates, ages 25 to 34. The empty nester women are ages 45 to 64. Together, these groups make up 20.7% of the Austin population. These groups are important for Healthy Gourmet because they have the income to support buying more expensive food for their pets, as opposed to college students who will most likely spend less on their pet food because of their tight budget. Paid Media: Advertisements in Local Magazines Young professional women and empty nester women can be reached through local Austin magazines. These publications have a print version and a digital version posted to their website, so the advertisements can reach a larger percentage of the target market. Healthy Gourmet can purchase a half-page ad in each magazine for 6 months out of the first year and every quarter of the second year. The magazines that will best reach the target market include Austin Woman Magazine, Austin Monthly, Austin Pets Directory and Haute Dog Magazine. Advertisements on Pandora, Facebook and Twitter Healthy Gourmet should purchase :30 spots on Pandora radio, as well as advertisements on Facebook and Twitter. It will be important to purchase advertisements on Pandora because online radio streaming is becoming increasingly popular, and some companies are seeing more responsive behavior to these ads compared to traditional radio ads (Mintel). Pandora is also accessed in places besides the car, such as the home and office. Advertisements on Facebook and Twitter will catch the attention of our target consumers since they are spending time on these social media channels.
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