Nestle Company’s New Product: Public Relations Plan

Introduction

The food market is flooded with different types of products. Clients are gradually shifting towards the consumption of healthy foods. In light of this, Nastle has developed new products to meet the demands of the clients. In conjunction with Gordon Ramsay, a popular TV chef, Nastle intends to market a new range of low fat organic ready-to-eat meals. According to Varadarajan, Jayachandran, and White (2001, p. 15), the marketing of a new product requires meticulous planning. The aim is for the marketers to create awareness about the new item.

In this paper, the author develops a public relations (PR) plan for Nastle’s new product. The plan has four major components as outlined by Vitorino (2012, p. 176). According to Vitorino (2012, p. 176), the first item entails the target audience. The other three elements include media stories, a budget, and a timeframe. Nastle will also include a press release in the campaign.

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A Public Relations Plan for Low Fat Ready to Eat Meal: A Case Study of Nastle

The PR plan will follow the SOSTAC format. The first step is situation analysis. In the second stage, the implementers identify the objectives of the plan. The third phase involves an outline of the strategy to be adopted by Nastle. Identification of the strategy is followed by an analysis of the tactics and activities to be undertaken by the marketing team. Finally, the drafters of the PR plan present a control framework.

Situation Analysis

The food market is a multi-billion dollar industry. Companies like Nastle are coming up with products aimed at meeting the changing demands of consumers. It is the only way through which the multinational company can exploit the value of the market. The company controls approximately 12 percent of the market share. The figure translates to about 1.2 million customers. According to Sethi (2000, p. 11), a marketing strategy for a new product must be accompanied by an analysis of its overall benefits. Many consumers are developing an interest in healthy living. As such, low fat products are fast gaining acceptability among many customers. Nastle will launch a campaign meant to exploit the opportunity to boost its market share.

Objectives

The following are the objectives of the PR plan:

  1. To help Nastle create awareness on the health benefits of low fat foods, especially its new range of products.
  2. To help Nastle change consumer perceptions towards processed foods.
  3. To help Nastle increase the number of consumers for Nastle products by 150% in the next three years.
  4. To help Nastle encourage existing consumers appreciate the need for increased intake of low fat foods

Strategy

The following is the strategy that will be followed by the implementers of the PR plan:

  1. Nastle will launch the new product as the main sponsor of a marathon aimed at creating awareness on the need for intake of low fat foods.
  2. Nastle will use online media avenues to create awareness of the health benefits of low fat foods.
  3. Nastle will exploit the current trend on healthy living to ensure more consumers are targeted with respect to intake of low fat foods.
  4. Chef Ramsay will feature in a television show to give cooking tips and use the low fat food product as a sample

Tactics

Developers of a PR plan use the strategy to endear the target product to the consumers. Gielens (2012, p. 410) argues that marketing tactics should contain an effective communication platform through which marketers outline the details of the product to the audience. In this regard, the tactic ideal for Nastle would be to have the company start a cooking show sponsored by the new product.

Short term tactics

The major objective of this PR plan is to help Nastle create awareness of the product and its benefits. Anderson and Song (2004, p. 412) argue that in the short term, a company is supposed to adopt a two way communication plan to interact with the consumers. The aim is for the firm to provide consumers with information about the product. To this end, marketers will develop a website and come up with a variety of social media options with the intention of creating awareness. In the short term, Nastle will develop an online community focused on discussing the benefits of healthy living.

As already mentioned, the TV chef will be the main star of the proposed reality show on cooking. The event will be graced by a number of advocates for healthy living. According to Bolton (2003, p. 66), companies should ensure that a marketing campaign is as interactive as possible. With regards to this, a press release will come in handy in the promotion of the current PR plan by Nastle.

Launch of the TV show

The show will air on a local television station. White, Varadarajan, and Dacin (2003, p. 75) argue that the use of celebrities by drafters of a PR plan boosts the value of a particular brand. In this regard, the celebrity chef and other public figures will add value to the Nastle brand. The marketers will record the show weekly in a five star hotel. Members of the public will have time to interact with participants in the course of the competition. During the show, low fat food information will be made available to the consumers by Nastle. At the launch of the event, the company will slot in a photo shoot moment. The images captured will be used by implementers of the plan to publicise the product in the media.

Collaboration Initiatives

One of the most effective techniques of marketing a product includes partnering with charity initiatives. Aribarg and Foutz (2009, p. 519) point out that these initiatives act as fodder for an effective public relations plan. Nastle can collaborate with stakeholders that are seeking to minimise the negative effects of fatty foods on public health. An example of such an initiative is an annual marathon used by advocates of public health to raise awareness about obesity. The company will brand the marathon using the low fat products. The move will act as a long term marketing strategy aimed at developing a niche market for healthy products. The initiative can provide market for other healthy products.

Budget

The budget for the current PR plan will address the issues revolving around the execution of the campaign by the marketers. According to Anderson and Song (2004, p. 415), an ideal budget is one that takes into consideration the specifics of a marketing campaign. Figure 1 is a representation of the proposed annual budget for the current plan:

Figure 1: Proposed budget.

ITEM COST
Online communication $10,000
Cooking competition $15,000
Marathon $13,000
Competition prizes $16,000
Miscellaneous $5,000
Total $59,000

Figure 1 outlines the four main areas of expenditure in the PR plan to be used by Nastle. Olsen, Slotegraaf, and Chandukala (2014, p. 119) suggest that companies should factor in external communication when developing a PR plan. To this end, the communication plan will revolve around websites and other social media platforms. The cooking show and marathon will be used by Nastle to implement the collaborative strategy.

Editorial

The PR plan will focus on the two main events, which include the marathon and the cooking competition. However, Nastle will put emphasis on the cooking competition since it is the core marketing strategy. Joshi and Sharma (2004, p. 48) recommend that firms should use editorials to support their PR plans. Editorials bridge the gap between the producer and the consumer. With regards to this, the current plan will use e-mails as the main form of correspondence. The company’s magazine will also come in handy. The website will act as the main avenue through which Nastle will publish all the editorials.

Time Frame

The campaign will run for three years. Olsen et al. (2014, p. 120) argue that the introduction of new products into the market by firms requires a long term plan. Consequently, a three year plan will effectively provide Nastle with the needed to evaluate the efficacy of the marketing strategy.

Press Release

Nastle is expanding its reach into the global household market. The company’s launch of low fat instant food products comes in the wake of our consumers’ increasing demand for healthy products in the market. In line with this line of new products, Nastle appoints Chef Ramsay as the brand ambassador for the new products. We will launch our new products on the 5th of May, 2015.

The new low fat meals from Nastle include yoghurt, pre-cooked soya chunks, and fresh milk. The yoghurt and milk products come in packs of 1 litre and 500mls respectively. The package of soya chunks start from 250gs. All the products meet the current standardisation criteria. They contain the recommended levels of fat. The launch of these new products by Nastle coincides with the unveiling of a cooking competition TV show airing on a local channel.

Nastle remains true to its mission of providing the products desired by our consumers. With the help of the cooking show, Nastle will educate consumers on healthy living. The show will encourage viewers to embrace healthy foods. Nastle will sponsor the competition to assure the customers of its active role in the campaigns advocating for a healthy lifestyle.

References

Anderson, E & Song, I 2004, ‘Coordinating price reductions and coupon events’, Journal of Marketing Research, vol. 41 no. 4, pp. 411-422. Web.

Aribarg, A & Foutz, N 2009, ‘Category-based screening in choice of complementary products’, Journal of Marketing Research, vol. 46 no. 4, pp. 518-530. Web.

Bolton, L 2003, ‘Stickier priors: the effect of nonanalytic versus analytic thinking in new product forecasting’, Journal of Marketing Research, vol. 40 no. 1, pp. 65-80. Web.

Gielens, K 2012, ‘New products: the antidote to private label growth?’, Journal of Marketing Research, vol. 49 no. 3, pp. 408-423. Web.

Joshi, A & Sharma, S 2004, ‘Customer knowledge development: antecedents and impact on new product performance’, Journal of Marketing Research, vol. 68 no. 4, pp. 47-59. Web.

Olsen, C, Slotegraaf, R & Chandukala, S 2014, ‘Green claims and message frames: how green new products change brand attitude’, Journal of Marketing Research, vol. 78 no. 5, pp. 119-137. Web.

Sethi, R 2000, ‘New product quality and product development teams’, Journal of Marketing Research, vol. 64 no. 2, pp. 1-14. Web.

Varadarajan, R, Jayachandran, S & White, C 2001, ‘Strategic independence in organisations: deconglomeration and marketing strategy’, Journal of Marketing Research, vol. 65 no. 1, pp. 15-28. Web.

Vitorino, M 2012, ‘Empirical entry games with complementarities: an application to the shopping centre industry’, Journal of Marketing Research, vol. 49 no. 2, pp. 175-191. Web.

White, C, Varadarajan, R & Dacin, P 2003, ‘Market situation interpretation and response: the role of cognitive style, organisational culture, and information use’, Journal of Marketing Research, vol. 67 no. 3, pp. 63-79. Web.

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