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Tyler Pet Foods Case Analysis

1252 words - 6 pages

Tyler Pet Foods, Inc.# 1. How would you describe the household dog food market? Sales of dog food are approximated at $5.6 billion for this year of which $3.1 billion will come from supermarkets. As the previous figures show, 55% of all dog food sold in the United States will be distributed through supermarkets. Since there exists such a reliable correlation between human population and dog population, we can say that the greater Boston area represents approximately 1.5 percent of the US dog population. Due to our human desire for companionship and need for protection, dog ownership is on the rise, which will eventually result in increase sale in the dog food industry. ...view middle of the document...

To continue in the same direction Show Circuit should be positioned as the finest dog food. Although it may not be the lowest priced food available, the higher price aspect will be compensated for through differentiation. This food will differ from competition in its form, which will be frozen, and in the idea that it is made of all organic material. # 4. What is the market potential for Show Circuit? According to the brokers Show Circuits advertising should be targeted at singles and married between the ages of 21 and 50 with a household income greater than $25,000. The main reason why such a target market was chosen was that these individuals tend to regard their dogs as part of the family. Therefore, they want to give it the best food out there and provide them with necessary care. Income plays a big role in establishing the potential for Show Circuit. It is estimated that over 63 percent of households with incomes greater than $25, 000 invest in pet food, supplies and care. This represents a large population. We also mentioned earlier in the analysis that the greater Boston area represented a population of 1.5 percent of the population, which means approximately 1.5 percent of the dog population. Since the human population of the US is estimated at ------ that represents approximately ----- dogs. If I assume that a dog could eat one 15-ounce tub in a day then that would generate about $------ ($.53*----). This is a daily figure of the potential revenue that could be generated from the greater Boston area.# 5. What is the marketing program economic of Show Circuit? One major obstacle that comes to mind when we think of selling dog food in the supermarket next to the frozen foods is the possible resentment on the part of the supermarkets. However, some of the work has already been cut out for Show Circuit in the Boston area. There already exists a frozen dog treat called Frosty Paws that is available in the ice cream section of supermarkets. It may be hard at times to convince buyers that some space in ice cream section should be allocated to frozen dog food. To overcome this obstacle, it may be necessary to offer higher profit margins to increase purchase.# 6. What does an appraisal of the introductory program tell us? The general media strategy has several advertising objectives including: 1. Create awareness...

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