+

The Abundance of Autumn

November 2013 Promotion

Priscilla E. Bloom Dietetic Intern November 20, 2013 Blessing Hospital

+ Statement of Purpose
To allow the intern to explore the company , services provided, market analysis, marketing strategy, financial plan, and resources required for successful implementation of the Aramark monthly retail promotion

+ Mission Statement

We are a professional services organization dedicated to excellence. We develop and sustain our leadership position by engaging and supporting our most valuable and differentiated asset; the competence, commitment and creativity of our people.

To improve the health of our community

+ Business Objectives
Primary Goal: To Increase Sales

Objective 1
To increase sales by 2% compared to the average Wednesday sales from the previous 3 Wednesdays

Objective 2
To increase customer count by 3% compared to the previous 3 Wednesdays

+ Business Objectives
Secondary Goal: increase attention to promotion

Objective 3
Implement a combo meal to increase attention to November promotional products and sell 10 combo meals

+ Company Summary

Blessing Hospital is a not-for-profit, not-tax-supported, independent hospital established in 1875. Affiliated with ARAMARK since 1997 Statistics:

Houses 2,400 employees Affiliated with 400 physicians Equipped with 290 hospital beds

Beyond healthcare

Catering Retail Snack shop BH JAVA Vending Coffee Service Patient services Environmental services

+ Blessing Vision and Values

Our Vision: Blessing will be the national leader in quality and family centered healthcare. In partnership with out patients, staff, students, volunteers, and physicians, we will create and support a culture of excellence and financial sustainability.

Our Values:

Quality: we seek to provide the best care, services and programs possible within the limits of available resources. We work to exceed the expectations of those we serve, compare our results Caring: we believe in holistic healing which means supporting the mind and spirit as well as the body. Our approach toward our patients, co-workers and other customers includes compassion, respect and following the Golding Rule. Trust: we look to have positive inter-relationships with others distinguished by mutual respect, full communications, truthfulness and openness to diverse views. We use the power to hold in a judicious manner and expect the same of others. Stewardship: we try assure value and prudence in the consumption of resources. As a public trust we pursue the long term interests of the community by managing and investing wisely, developing financial security and maintaining assets we possess. Participation: we are part of a larger universe concerned with the publics well;-being. We seek cooperation, teamwork and partnership in meeting the regions needs, and encourage our employees to contribute positively toward the quality of life we all enjoy.

Blessing Cafeteria 11 St. Campus

Majority of customers are employees utilizing their employee discount

Seats 170 Stations in the cafeteria include:

Grill World Salad bar Entre station Beverage station Grab and Go station Impulse Buy station

+ Market Analysis and Segmentation

Identifying local demographics and businesses affecting 11 street Campus

+ Local Demographics of Quincy, IL: Population

2012 population and statistics
Square Miles Population, 2012 estimate Population, percent change, April 1, 2010 to July 1, 2012 Persons under 5 Persons under 18 Persons 65 years and over Female Persons

Quincy, IL

Illinois

United States

15.91 40,798 .4%

55,518.93 12,875,255 .3%

3,531,906.43 313,914,040 1.7%

6.6% 22.3% 18.3% 52.1%

6.5% 24.4% 12.5% 51.0%

6.4% 23.5% 13.7% 50.8%

2010 Population by Race for Quincy, IL

2.20% 1.40%

5.40%

White Black Asian Two or more Races Hispanic or Latino

90.80%

+ Job Classification
Job Classification
Nurses 3% 13% 30% Technical

Administration

16%

Support Services

12%

Executive and Physicians

Target Market

Female nurses between the ages of 25-49

+ Competitors

Direct competition include: Tea Room, Subway, McDonalds, Burger King, HyVee Catering, Potential Taco Bell. Competitors are easily assessable via Broadway Street. Similar styles of service and food offerings such as: pizza, sandwiches, salads, hot entrees, soups, and coffee.

+ The Competition
Item 11 St. Campus Tea Room Subway McDonalds

Cold Sandwich Salad Pizza Slice

2.79 4.95 2.89

4.00 6.75 --

4.75 5.50 3.99

-4.94 --

Hamburger
Fries 20 oz Coffee 20 oz Fountain Drink

3.40*
1.49* 1.29 1.99

4.25
2.65 1.50 1.50

---1.50

3.20
1.10 1.75 1.00

* Employees receives discount on this item

+ SWOT Analysis
Strengths
Employee discount Sense of urgency between the managers to correct errors Customer service tracking Employee satisfaction Staff Large seating area Cycle menus offer variety Large seating area Quality of food

Weakness
Lack of advertisement/marketing concerning promotions Equipment in the cafeteria Little signage directing customers to the cafeteria Training of the cashiers Communication between managers/supervisors and staff

Opportunities
Can increase prices due to high employee discount Revenue from brand new coffee shop on first floor Remodeling of the cafeteria Catering outside of the hospital

Threats
Competitors within a one mile radius Remodeling Volunteer Tea Room

+ Strategy
Marketing Plan and Sales Forecasting

+ November Promotion
Mexican Grilled Turkey Salad, Asian Grilled Chicken Sandwich, Pumpkin Whoopie Pie

Today only make it a meal and add a pumpkin whoopie pie and a 16 oz. drink for only $5.59!

Marketing Plan +
Product
Promotional items sent to us for the month of November Mexican Grilled Turkey Salad Asian Grilled Chicken Sandwich Pumpkin whoopie pie

Place
Blessing Cafeteria 11 Street Campus Asian Grilled Chicken Sandwich to be served at the grill station Mexican Grilled Turkey Salad to be premade and kept in grab-and-go

Price
Combo meal at $5.59 Individually at $4.59

Promotion
Advertising within the cafeteria Flyers placed at each of the stations where food was picked up Combo meal was encouraged through the flyers

+ Sales Forecast
Primary Goal: Increase sales

To increase sales of the Blessing Cafeteria 11 St. Campus compared to a typical Wednesday by 2% or have a net sales of $3,986.15 for lunch and dinner.

Increase customer count in 11 St. Campus by 3% compared to the typical Wednesday or have a total customer count of 1,5717.7

+ Resource Review
Equipment, labor, food, and financial

+ Equipment
Cooking Equipment Walk in cooler Grill Freezer Convection oven Food Processor Fryer Steam Table Small Wares Chefs knife Cutting board Mixing bowls Spatula Sheet pans Ladle Scoops Spoodles Onion cutter Meat mallet Salad containers

+ Employee Labor

Salad Prep

Cooks

Cafeteria Servers

Cashiers

+ Food Resources Ordered

Food Item Amount Ordered Unit Price Total Price Of Product Used

Napa Cabbage

1 20# Case

17.80

17.80

Rosemary

1 1# bag

8.70

8.70

Budget for promotional items did not surpass operational budget All other ingredients were already available in inventory

+ Financial Resources

$26.50 Purchased in food

4 employees need to implement promotion No additional cost for advertisement

Financial Data
Budget, Sales Forecast, and Breakeven Analysis

+ Breakeven analysis
Asian Grilled Chicken Sandwich
Units sold Sales Sales price per unit Units Sold Variable Costs Labor per Unit (1.5 hours, 12/hr, 18 units sold) Raw Food Cost Total VC Fixed Costs Insurance and administrative Fees Total Fixed Costs BE= 5/(4.59-2.44) Breakeven in number of units 5 5 2.34 1 1 1.44 2.44 4.59 18 Unit

Breakeven Analysis
Mexican Grilled Sandwich
Units sold Sales Sales price per unit Units Sold Variable Costs Labor per Unit (1.5 hours, 12/hr, 9 units sold) Raw Food Cost Total VC Fixed Costs Insurance and administrative Fees Total Fixed Costs BE= 5/(4.59-2.45) Breakeven in number of units

4.59 9 2 1.45 2.45 5 5 2.33 1

Evaluation
Analysis of promotion

+ Evaluation
Sales

$3,907.99 Average Sales $3,380.77 Sales from Day 1 Of Promotion - $527.22 From average day

Decrease of 13.4% From Average Day

+ Evaluation
Customer Count

1209 Average Customer Count

1065 Day 1 Of Promo

144 Less Than Average

Net Sales vs. Customer Count

4,500.00 4,000.00 3,500.00 3,000.00 2,500.00 2,000.00 1,500.00 1,000.00 500.00 0.00 Oct. 16 Oct. 23 Oct. 30 Nov. 6 Net Sales Customer Count

+ Objectives

Objective 1: Increase Average Wednesday Sales by 2% Not Met

Objective 2 Increase Customer count Not Met Customer count was the lowest on Day 1 of the promotion compared to the past three Wednesdays. To meet the goal customer count should have been 1,245.

Objective 3 Implement combo meal to sell 10 combo meals Not Met Due to insufficient data this objective could not be met

Net sales of $3,986.15 for lunch and dinner would be needed to meet this objective, Day 1 of the promotion should have increased sales by $78.16 to meet the goal

Summary

More advertising to let customers know about new promotion Training for cashiers More communication between management and employees

Questions