Background of the Company BreadTalk Group was founded in Singapore in April 2000 and listed on the SGX in 2003. It is founded by George Quek (Chairman) and his wife, Katherine Lee (Deputy Chairman), when he saw an opportunity for starting a bakery selling freshly baked breads and buns that are visually creative and attractive. 2. 2 Mission and Vision Their vision is to establish BreadTalk to be an international trend-setting lifestyle brand. And the mission is to lead lifestyle culture with new, innovative changes and creative differentiation to craft products with passion and vibrancy. . 3 Portfolio The first BreadTalk retail outlet opened on 1st July 2000 at Parco Bugis Junction. They introduce their signature Flosss bun, and causes spiraling long queues. The second outlet was open within 5 months, in December 2000, Novena Square, followed by the first HDB heartlands outlet in Bishan. By 2001, they expanded the operations by opening another five outlets, and rapidly expanded to become a distinctive household brand owner that has established its mark on the world stage with its bakery, restaurant and food atrium footprints.
When they first started, the whole baking process (from preparation of dough to the final topping of the bakery items) was done at each individual retail outlet. As the business grows and preparing for franchising plans, they set up a central kitchen and shifted our corporate headquarters to the present premises at KA FoodLink, Kampong Ampat in September 2001. To cater for high production capacity, they acquired more space, machinery and equipment in 2002. The expansion of the central kitchen was completed by November 2002
The Term Paper on BreadTalk Group Limited 2
... concept. With an extra competitor, unless the demand for BreadTalk bakery increases, the revenue will fall. Thus, it is very ... fast food restaurants, 3 Ramen Play restaurants, and 184 Bakery outlets. The BreadTalk Group plans to grow aggressively in the market ... 2011(http://www. breadtalk. com/brand-accolades. tml Brand Accolades, 2012). The Group has a global network of over 400 bakery outlets, with ...
Today, BreadTalk has become a distinctive household brand owner that has established its mark on the world stage with its bakery, restaurant and food atrium footprints. Its brand portfolio comprises BreadTalk®, Toast Box, Food Republic, Din Tai Fung, The Icing Room, RamenPlay, Thye Moh Chan and Carl’s Jr. in China. With a global staff strength of 7,000 employees, the Group has a network of over 600 bakery outlets in 16 territories such as Singapore, China, Hong Kong and the Middle East.
It also operates more than 10 Michelin Star Din Tai Fung restaurants in Singapore and Thailand, as well as 50 award-winning Food Republic food atrium in Singapore, China, Hong Kong, Malaysia, Taiwan and Thailand. 2. SWOT Analysis STRENGTH| WEAKNESS| * Experienced Management Team * Strong Finance * Specialized R&D Team * Wide Range of Products * Strong Partnership Network in Asia * Wide Range of target market * Brand Concept| * Difficult to have Loyal customer base * No Halal Certification * Low barriers to enter F&B industry| OPPORTUNITY| THREAT| Growth of Technology * Expanding of Business * Creative Ideas * Delivery Services| * Globalization * Inflation * Natural disaster| 3. 4 Strength * Experienced Management Team BreadTalk is led by Dr George Quek who has 30 years’ experience in F&B industry. Together with the assistance from vastly experienced senior managers, it brought unprecedented commercial success to the company. * Strong Finance Figure [ 1 ]- Revenue and Profit obtain from Annual Report 2011
Looking at the Annual Report 2011, the revenue and profit chart (Figure 1) have shown that despite of the global uncertainty in 2011, the BreadTalk have done a great job and produce credible performance. Figure [ 2 ] – Pie Chart of Business Segment and Geographical Segment obtain from Annual Report 2011 Figure [ 2 ] – Pie Chart of Business Segment and Geographical Segment obtain from Annual Report 2011 Future more, the pie chart of business segment and geographical segment (Figure 2) have clearly shown that half of the sales are from Bakery (BreadTalk).
The Term Paper on Help improve own and team practice in schools 3
The ability to reflect on one’s own practice is crucial because you can evaluate your effectiveness and assess how well you think you are doing and identify any areas that need improvement or development. 1.1 Take a note of children and young people’s responses to own practice My placement is working with year 4 children who I engage with well and I get the general impression from their responses ...
And Singapore stand half the sales (52. %) compare to Hong Kong, China and rest of the world, followed by China with 32. 1% of sales. In 2011, the BreadTalk opened 76 new outlets of bakery, bringing the total number of outlets to 471: 24 outlets are owned and 52 are franchised. This contributed 53. 2% to overall Group revenue, recording 23. 0% growth to S$194. 4 million. Excluding gain from disposal of property in 2010, operating pro? t rose by 73. 0 % to S$8. 6 million. The pro? t growth was mainly attributed to higher pro? t contribution from Singapore and Mainland China bakery units on the back of higher revenue as well as smaller losses from the Malaysia bakery unit. Specialized R&D Team BreadTalk has their own in-house R&D team, and they are working with international consultants from Japan, France, Germany and Spain, to provide customers with the best combination of culinary skills and discovering new bread flavors and design. In addition, the R&D team present seasonal collections launched every few months to cater to customers’ discerning taste buds. With their constantly effort in developing new products, BreadTalk is able to distinguish themselves from the public. * Wide Range of Products
With the specialized R&D team, BreadTalk devoted to create and discover new bread flavors and design. With this it satisfies the ever-evolving consumer preference and taste. Most importantly, it carved up a strong reputation and prevents brand fatigue and creates a sense of freshness. * Strong Partnership Network in Asia BreadTalk has built strong relationship with local network in Asia, especially in china. With the strong relationship management and professional expertise in the local, it has help BreadTalk to successfully expand their business in 16 different countries. Wide Range of Target Market BreadTalk have a wide range of target market as everyone from young to old eats bread. * Unique Concept BreadTalk bakeries differentiated themselves from traditional bakeries and neighborhood bakeries with sleek and space-age looking store facades and an open-concept design. Unlike other bakeries, BreadTalk’s novel open-concept design allowed customers to view the bakers at work and generated customer interest in its products. In addition, BreadTalk came up with creative and fun-sounding names for their buns. Some buns had a short anecdote to tell a story.
The Essay on Target Customer Customers Business Market
In any market, there are different kinds of customers. They are Core Customers, At-Risk Customers, Non-profit Customers and Spinners. Many a times you find a number of companies that treat customers like kings. A famous example is that of Nordstrom store accepting a set of tire chain from someone who claimed to have bought it from there even though they do not sell tire chains. What most of us do ...
Example their latest creation, “Road Hog”, idea come from train delay and faulty. 3. 5 Weakness * Difficult to have Loyal Customer Base BreadTalk faces high intensity of rivalry like Four Leaves and Prima Deli. These rivals offer very similar products and are priced at around the same. If the rivals lower prices, customers might be tempted to go to the other bakeries. Therefore, BreadTalk need to introduce new products to capture the customers. * No Halal Certification In Singapore, BreadTalk do not have Halal Certification. Thus it loses potential Muslim customers in Singapore. * Low barriers to enter F&B industry
bakery business can be easily set-up if you have the sufficient capital and skill. The competitors might replicate BreadTalk products easily. Recently, there is an increase in bakery shop in neighborhood. These bakery shop sell similar products, but in a lower prices. This will definitely affect the sale of BreadTalk. 3. 6 Opportunities * Growth of Technology Shopping on-line is the latest trend and is going more and more popular. It is a good opportunity for BreadTalk to attract younger customer. * Expanding of Business BreadTalk can expand their business into emerging countries, where there is un-tap market.
These countries have lesser competitor and may have higher demand, thus it stabilize brand name. * Creative Ideas BreadTalk can come out with creative ideas to increase revenue. Example, allowing customers to design its own bread or baking classes. This will attract customer through curiosity. * Delivery Service Having delivery service it provide convenience to the customer. Hence, there will be high demand and higher revenue. 3. 7 Threat * Globalization As the world globalize, customers have more choice. Thus customer will look for the product that have more value. BreadTalk will have to compete will others company Inflation Due to inflation, prices of ingredients increase. In order to stay profitable, the price of the product have to increase. Thus BreadTalk will lose some of the customers. * Natural Disaster Due to natural disaster, there might be shortage of ingredient. In order to stay profitable, the price of the product have to increase. Thus BreadTalk will lose some of the customers. 3. Target Market In order to determine the target market, I conducted an observation on BreadTalk. I went down to BreadTalk at different timing of the day (morning, lunch time, tea-time, evening and closing time) to observe the customers.
The Term Paper on Blower Unit Price Market Company
Executive summary By early 1988, Augustine Medical executives were actively engaged in finalizing and marketing the program for the patient warming system named Bair Hugger Patient Warming System. The principal question yet to be resolved was how to price this system. Several considerations are required in terms of organizational objectives, demand for the product, customer value perception, buyer ...
I realize that the target market are very wide, from the age group of 13s to 50s. Mostly are the residents from neighbourhood and people working around the area. By looking at their wearing, I can see they are from the middle-income group. From this, I analysis that BreadTalk is targeting people who are living or working nearby, with middle-income family. 4. Customer Behaviour Customer of BreadTalk are habitual buyers, as there is low consumer involvement and there is little significant brand difference. Example, there is not much different between BreadTalk product and Four Leaves products.
In addition, the customers are “Butterflies”. They are profitable, however they are not loyal. If competitor lower their price, these “Butterflies” will fly over. 5. Market Segmentation Besides BreadTalk, BreadTalk Group have two others bakery retail to cater to different group or needs of people. Namely Thye Moh Chan and Bread Society. BreadTalk Group uses demographic and psychographic segmentation to divide the market into smaller markets to cater to different needs. Thye Moh Chan is reputed for its authentic hand crafted pastries such as the famous tau sar piah. And its target market is for elderly and Teochew Family.
Bread Society is designed to offer artisanal European-inspired breads to cater for western-preferred customer, and higher income customers. 6. 4Ps 7. 8 Products * Convenience Products Bread is a product that consumer buy frequently, immediately with much minimum comparison. * Attributes BreadTalk provide consistency in providing quality of bread. They have an open baking area on-site maintains the quality, freshness and variety of the products. And with the specialized R&D team, BreadTalk offer different flavours and design of products to satisfy the ever-evolving consumer preference and taste.
The Business plan on Bread Talk Marketing Analysis
BREAD TALK GROUP (Bakery) Number of brands under Bread talk group ( bakery) 1) Bread talk 2) Toast Box 3) The icing room 4) Bread Society Macro- environment: * Economic: There is a rise in income for most middle and lower income earners, making the bread sold price inelastic as it is a smaller proportion of the salary earned. Bread talk will always enjoy a demand for their bakery products. * ...
Most importantly, it carved up a strong reputation and prevents brand fatigue and creates a sense of freshness. * Product Line BreadTalk do not only sell bread. BreadTalk also provide customers with cakes, pastries and mooncakes. They also have Teochew traditional pastries for Teochew customers. 7. 9 Place BreadTalk uses direct marketing channel to sell their product directly to consumers. They have an open baking area on-site to ensure that the quality, freshness of the products when they reach customers. BreadTalk has 37 retail outlets in Singapore.
And most of the outlets are located in family-base mall like Jurong Point and Tampines Mall, so that they can target the family market. 7. 10 Price * Pricing strategies Market-Skimming Pricing – BreadTalk prices is slightly higher than others bakery shop. A BreadTalk pork floss bun is $1. 70 compared to $1. 30 from Four Leaves. This is because the product’s quality and image must be supported by the higher price, so that it differentiate with competitor * Promotional Pricing During holiday’s period, BreadTalk will lower their pricing to create excitement and gain publicity.
Example, every year Singapore National Day, BreadTalk will have a promotion relating to the age of Singapore. 7. 11 Promotion * Promoting Strategy Adverting – BreadTalk often have advertisement on magazines like “An i-Weekly Supplement”, to promote their new products. Besides this, posters can also be seen in MRT Stations or in shopping malls to gain awareness. Recently, BreadTalk introduce it application “BreadTalk App”on smart phone where customers can purchase the products through the application and redeem at BreadTalk stores simply by flashing your smart phone at the counter.
This build up the image and increase efficiency of BreadTalk. Sales Promotion – If customer uses UOB Card in BreadTalk, customer will enjoy 3% rebate. BreadTalk often have promotion for new product. Recently, BreadTalk introduce “Trans-fat-free toasts”. If customer purchase 4 pieces of the toast it cost $3. 40. But I you buy 8 pieces, it cost $5. 80. Customer will save $1. By this, it attracts customers to buy more. Public Relation – Recently BreadTalk introduce a new product “Trans – Fat – Free Toasts”, it is awarded the healthier choice symbol by Singapore’s Health Promotion Broad.
The Business plan on New Product Development Process 2
For every successful new product, many new product ideas are conceived and discarded. Therefore, companies usually generate a large number of ideas from which successful new products emerge. I work as a strategic manager in Solarland Co., Ltd. This company does business of electronic appliances. As a Strategic Manager, I have been directed by my BOD to introduce a new product in Bangladesh. I want ...
This will build up good “corporate image”. * Pull Strategy BreadTalk uses advertisement and promotion to attract customer, so it generate strong consumer demand for products. 7. Market Strategy BreadTalk uses product concept to market their product out to public. BreadTalk consistently offer customers with quality and interesting and creative products to capture customers. 8. Competitors Analysis | BreadTalk| Four Leaves| Prima Deli| Product| * Convenience Product * Consists in providing new design of buns * Famous for Flosss bun| * Convenience Product * Standard design of buns. Introduce mini buns * Famous for cakes| * Convenience Product * Standard design of buns * Main focus is on cakes. * Famous for cakes and waffles| Place| * Direct Selling * Outlets are located in family-base mall| * Direct Selling * Outlets are located in family-base mall| * Direct Selling * Outlets are located in family-base mall| Price| * Slightly costly * Market-Skimming Pricing| * Similar price with neighbourhood bakery * Market Penetration Pricing| * Slightly costly * Market-Skimming Pricing| Promotion| * Promotion only during holidays.
Eg, National Day * Rebates on UOB Cards| * Lower their price after 9pm every day to finish selling all the breads of the day. * Provide stamps with every purchase of $4. 80. Customer can use the stamp to exchange for benefits. | * Membership Card – Prima Privilege Card| 9. Key Issues & Recommendations 10. 12 No Loyal Customer As competitors’ offers similar products at a lower prices, it is very difficult for BreadTalk to have loyal customers. Therefore, BreadTalk have to come up with new interesting products to attract customer’s curiosity and establish their brand name.
BreadTalk can also come up with membership card like Prima Deli, to provide discount to the customers. By this way, I will create loyal customer base and increase demand of BreadTalk products. 10. 13 High number of competitor As bakery business can be easily set-up if you have the sufficient capital and skill, there will be high numbers of competitors. These competitor can replicate BreadTalk products and sell at lower price. Therefore, BreadTalk have to consistently come out with new product with the best quality to attract customers. 10. 14 Globalization During to Globalization, people have more choice and have more demand.
In order to attract or satisfy their demand, BreadTalk have to develop new product to satisfy them. 10. 15 Unable to cater to Muslim In Singapore, BreadTalk is famous for Pork Floss Bun, because of this BreadTalk is unable to cater to Muslim. I recommend that BreadTalk can set up a shop specially cater to the Muslim. By this way, BreadTalk can still sell their Pork Floss Bun in their existing shop, and having another shop to cater to Muslim needs. 10. 16 Natural Disaster and Inflation We are unable to predict when natural disaster will occur, but BreadTalk can think of back-up plan to minimize loses.
Example, alternative supplier for the ingredients. Due to natural disaster, prices of the ingredients will increase. Besides increasing the prices of products, BreadTalk R&D team can create new product using other ingredients that are not affected by the inflation. 10. Conclusions Through this project, by applying the marketing concept I have learnt in the class, I have a better understanding of marketing in business enterprise. This project also provides a foundation for understanding management practice and how a business understand consumers’ needs and want, in order to product a value product to satisfy customers with a value return. 1. Appendices and References 1. “BreadTalk Group – Welcome to BreadTalk Group. ” BreadTalk Group – Welcome to BreadTalk Group. N. p. , n. d. Web. 12 Mar. 2013. http://www. breadtalk. com/ 2. “BreadTalk – BreadTalk Singapore. ” BreadTalk – BreadTalk Singapore. N. p. , n. d. Web. 12 Mar. 2013. <http://www. breadtalk. com. sg/>. 3. “BreadTalk Group a?? a?? Bread Society. ” BreadTalk Group a?? a?? Bread Society. N. p. , n. d. Web. 12 Mar. 2013. <http://breadsociety.
com. sg/>. 4. “Thye Mo Chan. ” Thye Moh Chan. N. p. , n. d. Web. 12 Mar. 2013. <http://thyemohchan. com/>. 5. Wang0179. “BreadTalk FinalReport. Scribd. N. p. , n. d. Web. 12 Mar. 2013. <http://www. scribd. com/doc/3699043/BreadTalk-FinalReport>. 6. “Annual Report. ” Investor Relations:. N. p. , n. d. Web. 12 Mar. 2013. <http://breadtalk. listedcompany. com/ar. html>. 7. “STOMP – Singapore Seen – Breadtalk Salutes Steve Jobs with Apple-based Creation. “STOMP SINGAPORE SEEN RSS. N. p. , n. d. Web. 12 Mar. 2013. <http://singaporeseen. stomp. com. sg/stomp/sgseen/this_urban_jungle/791472/breadtalk_salutes_steve_jobs_with_applebased_creation. html>. 8. “STOMP – Singapore Seen – Breadtalk Cashes in with TAN-tarts This Presidential Election. STOMP SINGAPORE SEEN RSS. N. p. , n. d. Web. 12 Mar. 2013. <http://singaporeseen. stomp. com. sg/stomp/sgseen/this_urban_jungle/733256/corny_or_cute_mull_over_the_presidential_elections. html>. 9. “Welcome to Four Leaves Pte Ltd. ” Welcome to Four Leaves Pte Ltd. N. p. , n. d. Web. 12 Mar.
2013. <http://www. fourleaves. com. sg/webtop/Index/index. html>. 10. “Prima Deli – Home Page. ” Prima Deli – Home Page. N. p. , n. d. Web. <http://www. primadeli. com/home/home. asp>. 11. “Health Promotion Board. ” Singapore. N. p. , n. d. Web. 12 Mar. 2013. <http://www. hpb. gov. g/HOPPortal/>. 12. “BreadTalk . Always Exciting! ” BreadTalk . Always Exciting! N. p. , n. d. Web. 12 Mar. 2013. <http://breadtalkindia. com/>. ——————————————– [ 1 ]. Board of Directors — http://www. breadtalk. com/board-of-directors. html [ 2 ]. Brand Accolades — http://www. breadtalk. com/brand-accolades. html [ 3 ]. Product Innovation — http://www. breadtalk. com/competitive-strengths. html [ 4 ]. BreadTalk receives the SPBA Distinctive Brand Award in 2003 — http://www. breadtalk. com/history-milestones. html [ 5 ]. New Products — http://www. readtalk. com. sg/products_bread. php [ 6 ]. Strong partnership network in Asia — http://www. breadtalk. com/competitive-strengths. html [ 7 ]. BreadTalk Products — http://www. breadtalk. com. sg/products_bread. php [ 8 ]. Four Leaves — http://fourleaves. com. sg/webtop/Index/index. html [ 9 ]. Prima Deli — http://www. primadeli. com/home/home. asp [ 10 ]. An example of bakery shop is Q-Bread [ 11 ]. Four Leaves — http://fourleaves. com. sg/webtop/Index/index. html [ 12 ]. Thye Moh Chan — http://thyemohchan. com/ [ 13 ]. Bread Society — http://www. breadsociety. com. sg/ [ 14 ].
Information obtain at BreadTalk Business Review [ 15 ]. An example of creative design of product is Apple of my I — http://singaporeseen. stomp. com. sg/stomp/sgseen/this_urban_jungle/791472/breadtalk_salutes_steve_jobs_with_applebased_creation. html [ 16 ]. Thye Moh Chan — http://thyemohchan. com/ [ 17 ]. BreadTalk App — http://www. breadtalk. com. sg/files/BT-Angels-Flyers. jpg [ 18 ]. UOB Rebates — http://www. breadtalk. com. sg/promotions. php [ 19 ]. Prima Deli Cakes — http://www. primadeli. com/shopatprimadeli/category. asp? CaID=31 [ 20 ]. http://www. fourleaves. com. sg/webtop/promotions. html
