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Case example: EatFit

Note: The points provided in this example are based my experience and understanding of situations while working at eat.fit

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About EatFit

EatFit was started in 2017, with an aim to deliver healthy, tasty food to the Urban working Youth in Metro
cities in India. The reasons were:

● There was a large population of younger working professionals who migrated from other cities to
metro cities like Bangalore, Pune, Hyderabad, etc.

● They did not have access to home cooked food. Hence majority of these people were eating from
Restaurants, Canteens or Dabba walas – no health, taste or convenience

● Moreover, deciding what to eat consumed too much time and energy on a daily basis.

The Gap: No player was offering Healthy yet Tasty food bundled along with the convenience of not having to
order on a daily basis.
Marketing Mix for EatFit

Product: Healthy, Tasty Food delivered through cloud kitchens. Recipes were developed by 5 star Chefs
and nutritionists, and Technology enabled a Subscription and On-Demand delivery of these meals

Place: Considering urban youth was already available on online channels, App, Web, Partners like
Swiggy, Zomato, Uber Eats (initially) were the initial channel choices

Price: It was found that a person was willing to spend around Rs.120 for a normal meal (competitive
benchmarking), hence the range set was 120-280 (ranging from regular Indian to Gourmet and international
cuisines). We were catering to mid premium market

Promotion: Mainly through digital means as target group was actively present on these channels, but we will
study this more in subsequent slides
Example 1. Brand Building (1)

Context:
EatFit Product-Market fit had been established by 2018. We had 3 kitchens in Bangalore serving around 500
customers per day (each kitchen can handle 3K meals per day). Now it was time to grow this business.

Q. What would you do to grow this business?


- Since even 50% utilisation has not reached for each kitchen, means there is a need to generate more
sales in the areas near to these kitchens.
- This can be done through promotion of the brand and products – in specific areas/ internet.

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Example 1. Brand Building (2)

Q. But what would you keep as the Objective of this Ad?


- In this case, since the brand was not very well understood by its consumers yet (no major promotions
were done), it was necessary to first educate them on the brand proposition and generate Brand
Awareness.

Now, should it be ATL, BTL or TTL activities?


- If the growth plans are aggressive, there is high level of confidence in the product, and funds are
available, you go for a TTL plan else cost effective ATL.

So now we know the objectives and means, what do you think should have been the messaging strategy?

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Video

https://www.youtube.com/watch?v=T6Jz83YKiXM

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Analysis

Q. What was the messaging strategy used in this Ad (Cognitive, Affective, Conative)?
- The ad focused on convenience of Subscription product as well as re-emphasized the Healthy, Tasty,
Fresh food. Hence it is Cognitive strategy.
- In a cluttered market, it clearly established the points of differentiation – Healthy, Tasty, Fresh food
and convenience of a subscription model
- Clearly spoke to the target audience–it would have been extremely relatable to the target audience
and maybe not as much for others

Did you notice the creative strategy elements used (Taglines, Slogans)?
“Healthy made tasty with EatFit”
“Healthy, Tasty, Fresh Everyday”

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Analysis

This was a digital led ad campaign supported by Print, OOH, and Cinema to ensure a mass reach (TTL
campaign).
- One more reason to go full out was to get the first mover advantage in this market (of healthy, tasty
food) and build the right Brand perception (healthy food market had started picking up)

These ads helped build the Brand EatFit (not CureFit).

It also gave a great stimulus to the sales as multiple promotional offers (First meal at Rs.99, Discounts, etc.
were also run at the same time to create a Purchase intention.

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Example 2. Bringing in a Trusted Source

Context:
Cult and Eat had become popular and we were expanding into different cities, but the overlap between our
Cult and Eat customer base was less than what we wanted it to be. This made us realise that it was important
that people made the connection of EatFit and CultFit to CureFit. Hence, we started doing CureFit (company
level) ad campaigns.
The need:
Hrithik was mostly being positioned as a Source for CultFit (the fit seemed right), but then how about EatFit?
So if you were to get a Source for EatFit, who would you chose?
Famous nutritionists or cooks?
Right! EatFit brought in Master Chef Ranveer Brar. He was brought in as a Source and also as a contributor
of some healthy signature recipes.

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Example 2. Bringing in a Trusted Source

https://www.youtube.com/watch?v=Mfd27H
KkBqg&list=RDCMUCSE72IaHOL-1Tv-
m3JHE4Cg&start_radio=1&t=6

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Analysis

This campaign was also digitally led supported by print, radio and OOH. #ForTheLoveOfFit #TasteOfFit

Did you guys observe the following in this ad:


- It was more like a snippet, not a full fledged ad (to create top of mind)
- The ad subtly promoted Chef Thali (which was repositioned as Fit Thali later)
- It was done in collaboration with Zomato (gone exclusive with Zomato)
- Very youthful appeal – apt for social media

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Example 3. The evolution – Fit Thali

Context:
After the last campaign, there was a huge increase in subscription sales and even higher jump in the sales of
On-Demand meals – esp. Chef Thali.

This helped us realise:


1) Food choices are more product-led (than just brand led)
2) On Demand food was a bigger market than subscription

This meant we needed a different hook to increase sales – maybe even a Product driven approach
rather than Brand driven.

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The ad..

https://www.youtube.com/watch?v=Lk9riJ0B1oA&list=RDCMU
CSE72IaHOL-1Tv-m3JHE4Cg&start_radio=1&t=2

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Analysis

Q. If you were planning this ad campaign, which marketing channels would you target?

This was actually rolled out as a TV ad commercial as well in the following channels:

TV channels – popular Entertainment, Sports and News channels

Spots – Prime time during Cricket matches (80%)

Did you notice that the ad also mentioned that you get your first thali @ only Rs.75?

That was a clear Call To Action for people to try the product.

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Analysis

The campaign was a huge success and led to a 4X increase in the sales of this product itself.
But, it also came with a few learning:
● We probably did not have the geographic presence to warrant a national TV ad
● While Fit Thali was one of the most popular items on our menu, some customers got confused about our
positioning, given that the meal resembled “comfort food” rather than “healthy”

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Conclusion

● Understanding the customer and marketing objective is critical to the success of an ad campaign. This
should also be dynamic in nature
● Critically examining the outcomes of ad campaigns is equally important
● The scope and style of advertising is constantly evolving – there is no one right way of doing things
● Today, the competition is intense, requiring every business to promote their products and services in the
best possible manner. This has led to the development of new advertising techniques (marketing hacks)
Integrated Marketing Communications
Elements in the Communication Process

● Senders must know what audiences they want


to reach and what responses they want to get.
● They must encode their messages so the
target audience can decode them.
● They must transmit the message through
media that reach the target audience and
develop feedback channels to monitor the
responses.
● Noise is random and competing messages that
may interfere with the intended
communication.
The Communication Process

Target audience may not receive the intended message for any of three reasons:
● Selective attention
● Selective distortion
● Selective retention
Response Hierarchy model
Steps in Developing Effective Communication
Identify the Target Audience

Though we can profile the target audience in terms of any of the market segments earlier it’s often useful to
do so in terms of usage and loyalty.

It can be done by asking:


● Is the target new to the category or a current user?
● Is the target loyal to the brand, loyal to a competitor, or someone who switches between brands?
● If a brand user, is he or she a heavy or light user?
Determine the Communications Objectives
1. Category Need— A new-to-the-world product such as electric cars will always begin with a
communications objective of establishing category need.
2. Brand Awareness—Fostering the consumer’s ability to recognize or recall the brand within the category,
in sufficient detail to make a purchase. Recognition is easier to achieve than recall—consumers asked to
think of a brand of frozen entrées are more likely to recognize McCain’s distinctive orange packages than to
recall the brand. Brand recall is important outside the store; brand recognition is important inside the store.
Brand awareness provides a foundation
3. Brand Attitude—Helping consumers evaluate the brand’s perceived ability to meet a currently relevant
need. Relevant brand needs may be negatively oriented (problem removal, problem avoidance, incomplete
satisfaction, normal depletion) or positively oriented (sensory gratification, intellectual stimulation, or social
approval).Household cleaning products often use problem solution; food products, on the other hand, often
use sensory-oriented ads emphasizing appetite appeal.
4. Brand Purchase Intention—Moving consumers to decide to purchase the brand or take purchase-related
action. Promotional offers like coupons or two-for-one deals encourage consumers to make a mental
commitment to buy. But many consumers do not have an expressed category need and may not be in the
market when exposed to an ad, so they are unlikely to form buy intentions.
Designing the communications

The Message:
• Cognitive (UVPs, Benefits)
○ Useful for New Product, Brand launches, or promoting a new extremely attractive UVP
• Affective (Invoke emotions)
○ Useful for Established brand, Mass or a very niche product, create a deeper level connect with the brand
• Conative (Promos)
○ When direct impact on Sales and conversions is required

The creativity:
• Useful to deliver the core message effectively and develop better recall (Slogans, Taglines, Source)

Message Source:
● Messages delivered by attractive or popular sources can achieve higher attention and recall, which is
why advertisers often use celebrities as spokespeople.
Select the channels

● Personal communications channels let two or more persons communicate face-to-face or person-to-
audience through a phone, surface mail, or e-mail.
● They derive their effectiveness from individualized presentation and feedback and include direct and
interactive marketing, word-of-mouth marketing, and personal selling.

● Nonpersonal channels are communications directed to more than one person and include advertising,
sales promotions, events and experiences, and public relations.
● Much recent growth has taken place through events and experiences. Events marketers who once
favored sports events are now using other venues such as art museums, zoos, and ice shows to
entertain clients and employees. AT&T and IBM sponsor symphony performances and art exhibits, Visa
is an active sponsor of the Olympics, and Harley-Davidson sponsors annual motorcycle rallies
Establish the Total Marketing Communications Budget

● AFFORDABLE METHOD Some companies set the communication budget at what they think the
company can afford. It leads to an uncertain annual budget, which makes long-range planning difficult.
● PERCENTAGE-OF-SALES METHOD Some companies set communication expenditures at a specified
percentage of current or anticipated sales or of the sales price. Automobile companies typically budget a
fixed percentage based on the planned car price.
● COMPETITIVE-PARITY METHOD Some companies set their communication budget to achieve share-of-
voice parity with competitors.
● OBJECTIVE-AND-TASK METHOD The objective-and-task method calls upon marketers to develop
communication budgets by defining specific objectives, determining the tasks that must be performed to
achieve these objectives, and estimating the costs of performing them. The sum of these costs is the
proposed communication budget
Establish the Total Marketing Communications Budget

● COMMUNICATION BUDGET TRADE-OFFS A major question is how much weight marketing


communications should receive in relationship to alternatives such as product improvement, lower prices,
or better service.
● The answer depends on where the company’s products are in their life cycles, whether they are
commodities or highly differentiable products, whether they are routinely needed or must be “sold,” and
other considerations.
● Marketing communications budgets tend to be higher when there is low channel support, much change in
the marketing program over time, many hard-to-reach customers, more complex customer decision
making, differentiated products and nonhomogeneous customer needs, and frequent product purchases
in small quantities
Marketing Communications Mix

● Advertising
● Sales Promotion
● Public Relations and Publicity
● Personal Selling
● Direct and Interactive Marketing

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Characteristics of the Marketing Communications Mix

ADVERTISING: It reaches geographically dispersed buyers. It can build up a long-term image for a product
(Coca-Cola ads) or trigger quick sales (ad for a weekend sale). It offers following benefits:

1. Pervasiveness—Advertising permits the seller to repeat a message many times. It also allows the buyer
to receive and compare the messages of various competitors. Large-scale advertising says something
positive about the seller’s size, power, and success
2. Amplified expressiveness—Advertising provides opportunities for dramatizing the company and its
brands and products through the artful use of print, sound, and color.
3. Control—The advertiser can choose the aspects of the brand and product on which to focus
communications.
Characteristics of the Marketing Communications Mix

SALES PROMOTION: Companies use sales promotion tools—coupons, contests, premiums, and the like—
to draw a stronger and quicker buyer response, including short-run effects such as highlighting product offers
and boosting sagging sales.

Sales promotion tools offer three distinctive benefits:

1. Ability to be attention-getting—They draw attention and may lead the consumer to the product.
2. Incentive—They incorporate some concession, inducement, or contribution that gives value to the
consumer.
3. Invitation—They include a distinct invitation to engage in the transaction now.
Characteristics of the Marketing Communications Mix

PUBLIC RELATIONS AND PUBLICITY:

Public relations (PR) is the practice of deliberately managing the release and spread of information
between an individual or an organization (such as a business, government agency, or a nonprofit
organization) and the public.

Public relations and publicity differ in that PR is controlled internally, whereas publicity is not controlled and
contributed by external parties

The appeal of public relations and publicity is based on three distinctive qualities:
1. High credibility—News stories and features are more authentic and credible to readers than ads.
2. Ability to reach hard-to-find buyers—Public relations can reach prospects who prefer to avoid mass
media and targeted promotions.
3. Dramatization—Public relations can tell the story behind a company, brand, or product.
Characteristics of the Marketing Communications Mix

EVENTS AND EXPERIENCES There are many advantages to events and experiences as long as they have
the following characteristics:
1. Relevant—A well-chosen event or experience can be seen as highly relevant because the consumer is
often personally invested in the outcome.
2. Engaging—Given their live, real-time quality, events and experiences are more actively engaging for
consumers.
3. Implicit—Events are typically an indirect “soft sell.”

DIRECT AND INTERACTIVE MARKETING Direct and interactive marketing messages take many forms—
over the phone, online, or in person. They share three characteristics:
1. Customized—The message can be prepared to appeal to the addressed individual.
2. Up-to-date—A message can be prepared very quickly.
3. Interactive—The message can be changed depending on the person’s response.
WORD-OF-MOUTH MARKETING It also takes many forms both online or offline. Three noteworthy
characteristics are:
1. Influential—Because people trust others they know and respect, word of mouth can be highly influential.
2. Personal—Word of mouth can be a very intimate dialogue that reflects personal facts, opinions, and
experiences.
3. Timely—Word of mouth occurs when people want it to and are most interested, and it often follows
noteworthy or meaningful events or experiences.

PERSONAL SELLING It is the most effective tool at later stages of the buying process, particularly in
building up buyer preference, conviction, and action. Personal selling has three notable qualities:
1. Personal interaction—Personal selling creates an immediate and interactive episode between two or
more persons. Each is able to observe the other’s reactions.
2. Cultivation—Personal selling also permits all kinds of relationships to spring up, ranging from a matter-of-
fact selling relationship to a deep personal friendship.
3. Response—The buyer is often given personal choices and encouraged to directly respond.
Common Communication Platforms

Advertising Sales Public Personal Direct


Promotion Relations Selling Marketing
Print and Contests, Press kits Sales Catalogs
broadcast ads games, presentation
sweepstakes,
lotteries
Packaging- Premiums and Speeches Sales Mailings
outer gifts meetings

Packaging Sampling Seminars Incentive Telemarketing


inserts programs

Motion Fairs and Annual reports Samples Electronic


pictures trade shows shopping
Cost-Effectiveness of Different Promotional Tools
Questions?
Different ad tactics

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