MKTG1012 Principles of Marketing: Section 01

November 26th 2014

E. Wilson
Jessica Gardner, Alyscia Gordon, Joseph Harron

1. SWOT Analysis
Strengths
New business
Tina has a lot of experience in the
field
Capital from lottery winnings
Affordable prices
Good location
Open 7 days a week
Kids eat free night
All day breakfast available
Opportunities
High population of young families
Government grants and loans for
new businesses
Creating a web presence
Offering a take out menu
Expansion of neighborhood

Weaknesses
No reputation
A lot of work to start a business
from scratch
Need to train employees
Tina is a sole proprietor therefor
she has unlimited liability for the
business

Threats
20.2% unemployment in the city
of London
Low value of Canadian dollar
New restaurants opening in the
area

2. Competitive Analysis
n o o

Product- A wide range of breakfast. Canadian and Greek for lunch and dinner
Pricing-

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afford. The portions are large without a large cost.

Promotion- Gainsborough is a dine in or take out restaurant. You can call or place
your orders online for pick up or stay for any meal of the day and enjoy their casual
dining.
2) Crossings (1269 Hyde Park Rd
Product- More than just your basic pub food. Plated and presented with more of a
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Pricing- Average entre is $15.

oplPromotion- A dine-in restaurant with over 30 beers on tap, a wide range of meal
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; Wine

and Scotch event, a golf tournament and al beer fest. All proceeds go to local
charitable causes.
3) Union Burger (1422 Fanshawe Park Rd W)Product- Fresh burgers/sandwiches and hand cut fries
Pricing- The average sandwich is $6.50 plus $3.75 to make it into a meal.
Promotion- Union burger is not only a diner but also an attitude, engaging,
memorable and eclectic. Their philosophy is to serve fresh food at a competitive
price.
3. Customer Segmentation Analysis
Bases for
Segmentation
Geographic

Students

Demographic

Age 17-30
Of all ethnic
ranges
There are
approximately
30,000students
at UWO and
16,000 at
Fanshawe
Average
spending
(income) is
$4000/ year
Most students
only live in
London from

Live near
Fanshawe
College at east
end and near
Western
University at
North end

Young
Professionals
Live near the
core of
downtown
London

Age 22-35
They have a
low average
income
however
they have a
high amount
of disposable
income
There are
about 27,000
people in
this age
group

Young
Families
Mostly
centered
around the
areas of
Hyde Park,
Hamilton
Rd, and
White Oaks
Age 29-35
Most young
families
have a dual
income and
have young
children.
The average
family size
in London is
2.9 people
There are
about 24,000
people in
this segment

Established
Adults Early
Tend to live
near the area
of Hyde Park

Established
Adults Late
Are based
mostly
around
Masonville
area

Age 36-49
This is the
largest group
with about
46,000
people. They
have a higher
average
income
therefore
more
disposable
income

Age 49-59
This segment
has the
highest
average
income of
$89,591
There are
52,000
people in this
segment.

Psychographic

Usage

Benefit

SeptemberMay
Involved with
their education
as well as being
a part of the
nightlife in
London

Students have a
high usage rate
approximately 5
times per week,
primarily on
weekends.
Students spend
approximately
$880/ year on
dining and
They primarily
eat fast food.
Dont have to
cook.
Social aspect.
Picking up
women
Unwinding on
weekends from
a long school
week.
Spending time
with friends

Are very
social,
outgoing and
heavily
involved in
the nightlife
and dating
scene.

Have a high
usage of
businesses
that are a
part of the
night- life in
London

Social
Unwinding
on weekends
Meeting new
people
(dating)
Dont have
to cook

Due to being
parents of
young
children,
many young
families
prefer to
have
convenience
to their
activities
because of
their
schedules
Use family
restaurants
often and
shop often at
stores for
children

Tend to enjoy
experiencing
new things

Tend to
prefer
sophisticated
and refined
activities

Eat out more

than any other
group
approximately
twice per
week. Spend
a good
amount of
their money
on
entertainment

With their
children
being adults,
they spend a
good amount
on fine
dining and
more
luxurious
shopping

Convenience
and quick
service
Kid friendly
environment
Dont have
to cook

Benefit from
products that
provide new
experiences
Social aspect
Getting out of
the house
Dont have to
cook

Sophisticated
and
luxurious
products and
services
Dont have
to cook
Social
activity
Catching up
with friends

Students: To satisfy students businesses should have cheaper prices, have

convenience, and need to be located somewhat near the campuses. The reasons for
this are that students find it easier if they can go grab something quick to eat or a
place to shop for items that is not out of the way. Adapting your business to work
well with student needs is the way to obtained the required consumers

Young professionals: To attract this group businesses need to have some sort of
nightlife or allow for the dating scene. Businesses should be located closer to
downtown where most of this group works or lives. Also allowing this group to have
a unique and fun experience with friends and letting them socialize is another way
to encourage young professionals towards your business.
Young Families: This group usually has a very tight schedule so businesses that
allow quick service and convenience are highly praised. These families have very
young children so to satisfy the children, businesses should have special deals
where children eat free on a certain day or have a fun theme for the children to
enjoy.
Established Early Adults: If businesses want to attract this group they need to be
able to provide a new experience. This group values new experiences and a business
needs to satisfy this want to attract this particular group. Because this group tends
to eat out the most and spend the most on entertainment, businesses need to have a
system that doesn't repeat and allows for something new each visit.
Established Late Adults: This group is the oldest out of the groups and has the most
income. Their children are also either in post secondary or at full time work
allowing for them to have more free time. To attract this type of consumers,
businesses need to have a luxurious atmosphere; as well they should have a high
standard to service and quality of their product.
4. Target Market Selection
The marketing strategy for our restaurant is a concentrated marketing plan. We are
targeting young families because they are the main demographic in thy Hyde Park

area. Our restaurant will provide convenience to our customers through offering
quick service in a nearby location. Our diner will be family oriented and kid friendly.
Having young families as our target market will result in a higher chance of
achieving the restaurants goals because of this. The area in which it is being built
and as well the restaurant being family focused will almost guarantee our
restaurants success. Prices in our restaurant are relatively cheap; as well we offer
discounts for children. Our justification for our target strategy is that primarily
young families populate the area and we will offer everything they look for in a
restaurant. Winding Woods will offer convenience, high quality food, reasonable
pricing, and a kid friendly environment.
5. Mission Statement
To provide an exceptional and convenient dining experience, as well as creating a
lasting relationship with customers, and business partners.
6. Location and Name
The name of our restaurant is Winding Woods Diner and Family Restaurant. We
chose this name because it is the name of a nearby street therefor it will be familiar
to people who live in the area. We have chosen to open our restaurant in Hyde Park
located in London Ontario. We feel that this is a great place to open a family
restaurant because its population is primarily young families with an average
income of $99,551. With this high level of income families living in this area have a
large discretionary income to support eating out, they are looking to spend their
money on products that are convenient for their family. The Hyde Park area is
developing quickly with hundreds of new homes being built annually and many new

businesses opening in the area. Although this area is developing quickly there are
not many restaurants in the area therefor there will not be to much competition in
this area and the restaurant will bring in many young and growing families.
7. Pricing
At Winding Woods Diner and Family Restaurant you can enjoy good food at even
better prices. On our breakfast menu the average price of an entree is $10.00
including coffee or tea. We offer an all day breakfast menu as well with entre costs
averaging $7.00. On our lunch and dinner menu the average cost of an entree is $15.
These prices are compatible to what young families can afford with the average
income. We also offer different promotions as follows:
Sunday- Thursday: kids under 12 eat free with the purchase of an adult entre
Tuesday: Date night, two can dine for $25 (after 4pm)
Wednesday: $.60 wing night
Thursday: Half Price Pizza and Drinks
We also offer a seniors discount of 15% every day.
Our prices are competitive with local restaurants but with our promotions we feel
that they Winding Woods Diner will bring in more people taking advantage of the
discounts offered.
8. Product
The product that Winding Woods Diner and Family Restaurant offers is diner and
family style based menu items. The Restaurant offers all day breakfast as well as a
lunch and dinner menu. The menu will include the following dishes

All day breakfast: Eggs, bacon, sausages, toast, pancakes, French toast, waffles,
omelets, eggs Benedict, western sandwich, oatmeal
Dinner/Lunch: Assorted amount of sandwiches, wraps, soup, burgers, steak, seafood
options, French fries, poutine, salads, onion rings,
Desserts: Pie, ice cream, cheesecake
Kids Menu: chicken fingers, pizza, Kraft Dinner, spaghetti, pancakes, eggs, and
waffles. All kids meals come with juice, pop, or milk, and choice of ice cream or apple
sauce for desert.
Drinks: smoothies, milkshakes, juices, pop, and a limited selection of alcoholic
beverages.
The menu at Winding Woods targets young families by offering food that they and
their children will enjoy with the convenience of not finding the time to cook in their
busy schedules.
9. Marketing Communications Plan
The marketing plan for Winding Woods includes a variety of marketing activities.
With young families having a large amount of activities to attend they spend a large
amount of time on the road, to target them during this time we will advertise our
restaurant on bus benches located in the Hyde Park area. The price for five bus
bench ads is $9,831 for one year plus an additional $200 to have the ad designed.
We would also like to create a social media presence on Facebook, Twitter, and
Instagram. Social media is becoming more and more popular especially with the
younger generation. Although creating these accounts is free it costs money to
upkeep these cites. We budgeted about $4,000 for the upkeep of these sites with an

employee updating them daily. We also think it would be a great idea to create a
groupon. Groupon is a website that offers coupons to local businesses that can be
purchased online. There are no upfront costs to run a deal on groupon, however
groupon takes 50% of the revenue. We will offer a $75 gift certificate for $50, which
leaves the restaurant with a $25 return on $75 worth of goods. We will offer 200 of
these deals on groupon available while supplies last. This will cost us $10,000.
Groupon is very popular with young mothers who are looking for new businesses
and good deals. Although this is a very expensive marketing activity it will bring in
many new customers allowing us to create relationships with customers and
hopefully establish brand loyalty.

References
Carter, T. (2011, January 18). How Much Does Social Media Cost. Retrieved
-----November 23, 2014.
Crossings Pub and Eatery Hyde Park. (n.d.). Retrieved November 19, 2014.

Gainsborough Restaurant. (n.d.). Retrieved November 19, 2014.

Sousa, J. (2011). City Of London - Community Profile. London ON: City Of London
Planning Division.
Union Burger. (n.d.). Retrieved November 19, 2014.