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Quim Giralt

Mira Hautamki
Julian Hner
Adom Issahakian
Laura Sans
Mateo Torres

International
Marketing
IQS
MAY 2014

INDEX
Cultural
Analysis
Competito and
r Analysis Segmentati
on

Market
Entry

Country
Screening
and PESTLE
Company
Analysis

Introduction

2000, Huelva

Introduction

Company Analysis

SWOT Analysis
STRENGHTS

High
High quality
quality products
products
Low
Low prices
prices
Conviviality
Conviviality
Very
Very large
large choice
choice
Promotions
Promotions

OPPORTUNITIES

WEAKNESSES

Product
Product differentiation
differentiation
Often
Often full
full on
on promotion
promotion
days
days
Dont
Dont offer
offer free
free wifi
wifi
Dont
Dont have
have a
a powerful
powerful
brand image
image
SWOT brand

Analysis

Economic
Economic crisis
crisis
New
New products
products
Expand
Expand internationally
internationally

THREATS

High
High level
level of
of competition
competition
Negative
Negative image
image of
of fast
fast
foods
foods in
in general
general
New
New entrants
entrants

Marketing Analysis

Produc
t
5 types
of

products :
Montaditos, Drinks,
Sides, Salads and
Desserts
High quality
products

Promoti
on with
Offline
advertisements,
posters for their
promotions
Online with
Social networks
and

Price

Montaditos : 1-2
Sides : 2
Salads : 3.50
Drinks : 1-2
Desserts : 1-2

People
Young people
between 1630
Working
people
Tourists

Place

212 restaurants in
Spain
30 restaurants abroad
in
the USA (13), Mexico
(12),
Colombia (2), Chile, Italy
and Portugal

Performan
ce
Net income in
2013 :
5.971.427
Goal : 500
restaurants in
2015

Porters five forces

Medium

Easy access
market and low
entrance cost for
startups
Hard to be
successful

Medium
Unique Concept
at low prices
Easy to
substitute

High
Large industry
size
Very
competitive

Medium

High

Ingredients used
are not low in
supply
But only 3
suppliers

Other fast
foods,
restaurants,
school
cafeterias,
PUBs

Expansion Analysis

Country Screening
1st step: most important criteria
1. Fast Food consumption
2. Beer consumption
3. Bread consumption

10

Fast Food Consumption


Point

s
Canada
20
United Kingdom
19
South Corea
18
Japan
17
Austria
16
Germany
15
Switzerland
14
Sweden
13

40%
8
7,6
7,2
6,8
6,4
6
5,6
5,2
11

Beer Consumption

Czech Republic
Austria
Germany
Estonia
Poland
Ireland
Croatia
Venezuela

Poin
ts
20
19
18
17
16
15
14
13

30%
6
5,7
5,4
5,1
4,8
4,5
4,2
3,9
12

Bread Consumption

Japan
Germany
Canada
Switzerland
France
Hongkong
UK
Australia

Point
s
20
19
18
17
16
15
14
13

30%
6
5,7
5,4
5,1
4,8
4,5
4,2
3,9
13

Result
1Germany

17,1

2Canada

13,4

3Japan

12,8

4Austria

12,1

5United Kingdom

11,8

2nd step: further analysis of our top 5

14

Demography

30%

Target customers: population


between 15-54y
15-24y: 40% 25-54y: 60%
Focus on adult male population
male: 70%
female: 30%
Urban population
Households
15

Population 15Rank 54y


1China
2India
3Indonesia
4Pakistan
5Brazil
6Nigeria
7Bangladesh
8Russia
9Philippines
10Vietnam
11Japan
12Iran
13Turkey
14Ethiopia
15Egypt
16Germany
17Thailand
18Congo,
19United Kingdom
20Burma

Points
20
19
18
16,7
16,3
14,7
14,3
13
12
10
10
9
7,3
6,5
6,3
5,3
4,3
3,3
2
0,7

Japan 11th, Germany 16th, UK 19th

16

Rank Households Number


1India
192,671,808
2Brazil
57,324,167
3Russia
52,711,375
4Japan
49,062,530
5Germany
40,076,000
United
6 Kingdom
25,691,000
7Vietnam
22,444,322
8Philippines 18,539,769
9Turkey
17,794,238
10Iran
17,352,686
11Ukraine
17,199,000
Korea,
12 South
15,887,128
13Ethiopia
15,634,304
14Poland
13,337,040
15Canada
12,437,470
16Argentina 12,171,675
17South Africa 11,205,705
18Romania
7,320,202
19Netherlands 7,242,202
20Peru
6,754,074

Japan 4th, Germany 5th, UK 6th

17

Urban
Rank Population
1China
2India
3Brazil
4Indonesia
5Japan
6Russia
7Philippines
8Nigeria
9Pakistan
10Germany
11United Kingdom
12Turkey
13South Korea
14Iran
15Argentina
16Egypt
17Colombia

Number
711,820,000
405,145,300
160,879,708
122,824,688
116,486,531
102,705,300
77,610,181
64,009,394
60,484,799
56,132,300
56,105,091
51,672,518
46,381,918
46,368,984
37,705,099
35,935,354
35,332,746

Japan 5th, Germany 10th , UK 11th

18

Demography Result
1Japan
2Germany
3United Kingdom
4Canada
5Austria

19

Economy

30%

GDP, GDP per capita


GINI
Inflation

20

Rank GDP
1China
2Japan
3Germany
4United Kingdom
5Brazil
6Russia
7India
8Canada
9Australia
10South Korea
11Indonesia
12Netherlands
13Turkey
14Saudi Arabia
15Switzerland
16Iran
17Sweden
18Norway
19Poland
20Belgium

Number
8,358,400
5,960,180
3,425,956
2,471,600
2,254,109
2,029,812
1,875,213
1,821,445
1,564,419
1,129,598
878,043
800,535
788,299
711,05
631,183
551,588
523,804
499,667
489,852
483,402

Japan 2nd, Germany 3rd, UK 4th, Canada 8th

21

GDP per
Rank capita
1Qatar
2Luxembourg
3Singapore
4Norway
5Brunei
6Hong Kong
7Switzerland
8San Marino
9Canada
10Australia
11Austria
12Netherlands
13Sweden
14Iceland
15Germany
16Taiwan
17Kuwait
18Ireland
19Denmark
20Belgium

Number
98,814
78,67
64,584
54,947
53,431
52,722
46,43
44,48
43,472
43,073
42,597
41,711
41,188
41
40,007
39,767
39,706
39,547
37,9
37,881

Canada 9th, Austria 11th, Germany 15th

22

Rank GINI Index


1Dnemark
2Japan
3Schweden
4Belgien
5Tschechien
6Norwegen
7Slowakei
8sterreich
Bosnien und
9 Herzegowina
10Usbekistan
11Finnland
12Ungarn
13Mazedonien
14Albanien
15Deutschland
16Slowenien
17Ruanda
18Kroatien
19Ukraine
20thiopien

Number
28,1
24,9
24,8
26,5
25,4
25,8
25,8
26
26,2
26,8
26,9
26,9
28,2
28,2
28,3
28,4
28,9
29
31
30

Japan 2nd, Austria 8th, Germany 15th

23

Inflation
0,1%

Japan

1,7%

United Kingdom

1,8%

Canada

2%
2,3%

Germany
Austria

Inflation in Japan too low, but in 01/14 increased: 1,3%


24

Economy Result
1Germany
2Japan
3United Kingdom
4Canada
4Austria

25

Consumption

30%

Consumer Spending
Household final consumption
expenditure (50%)
Household final consumption
expenditure capita (20%)

Food Expenditures per capita (20%)


Greendex Index (10%)
26

Household final
consumption
Rank expenditure
1Japan
2Germany
3China
4United Kingdom
5Brazil
6Canada
7India
8Russia
9Australia
10South Korea
11Turkey
12Netherlands
13Argentina
14Switzerland
15Poland
16Belgium
17Greece
18Malaysia
19Austria
20Norway
st

Number
2,952,710
1,960,230
1,835,280
1,415,350
1,266,270
786,22
737,936
671,629
564,993
452,182
439,678
364,781
316,73
285,311
263,048
246,983
242,266
209,194
206,998
198,064
th

Japan 1 , Germany 2nd, UK 4 , Canada 6th, Austria 19th


27

Household
consumption
Rank expenditure capita
Number
1United Arab Emirates
34,561
2Switzerland
26,47
3Luxembourg
26,097
4Hong Kong
24,491
5Norway
23,122
6Australia
22,747
7Austria
22,413
8United Kingdom
22,376
9Canada
22,041
10Germany
21,642
11Cyprus
19,733
12Belgium
19,491
13Finland
19,182
14Sweden
19,037
15Japan
18,492
16Netherlands
18,429
17Denmark
18,03
18Ireland
17,869
19Iceland
17,718
20Greece
17,675
th
th
th

th
Austria 6 , UK 8 , Canada 9 , Germany 10th, Japan 15
,
28

Food Expenditure per


Rank capita
1Norway
2Switzerland
3Japan
4Greece
5Australia
6France
7Denmark
8Sweden
9Finland
10New Zeland
11Israel
12Austria
13Belgium
14Canada
15Taiwan
16Holand
17Germany
18Hong Kong
19Ireland
20Venezuela

Japan 3rd, Austria 12th, Canada 14th, Germany 17th, UK29


st

Greendex
1Germany

51,5

2UK

49,4

3Canda

47,9

4Japan

48,5

-Austria

no data

30

Consumption Result
1Japan
2Germany
3United Kingdom
4Canada
5Austria

31

Society

10%

Quality of Life Index (50%)


Median wealth per country (50%)

32

Rank Quality of Life Index


1Switzerland
2Germany
3Sweden
4Finland
5Denmark
6Canada
7Australia
8United Arab Emirates
9Austria
10New Zealand
11Japan
12Norway
13Netherlands
14United Kingdom
15Estonia
16Ireland
17Kuwait
18Saudi Arabia
19Belgium
20Slovenia

Number
206.23
192.69
180.92
178.88
178.55
178.29
175.98
173.27
171.82
168.56
168.47
168.41
160.98
150.97
145.40
142.35
141.37
139.88
134.71
125.56

33th
Germany 2nd, Canada 6th, Austria 9th, Japan 11th, UK 14

Middle Class (Median Wealth per


Rank Country)
1Australia
2Japan
3UK
4Switzerland
5Ireland
6Canada
7Norway
8Finland
9Spain
10New Zealand
11Netherlands
12Isreal
13China, Taiwan
14Germany
15Sweden
16Denmark

Japan 2nd, UK 3th, Canada 6th, Germany 14th,

34

Society Result
1Canada
2Japan
3Germany
4United Kingdom
5Austria

35

FINAL Result
1Japan

4,6

2Germany
United
3 Kingdom

4,2

4Canada
5Austria

2,3
1,3

Japan or Germany?

2,9

36

Cultural Dimensions

37

Economic Situation
Difficult in Japan, stabile in
Germany
Consumer Confidence

38

Germany

What are the reasons for this decision?

39

Reasons for Germany


Top 3 reasons
First in our main criteria,
especially beer consumption
Company strategy: Focus on
Europe
2nd biggest trading partner of
Spain
40

Reasons for Germany


Number of students in Germany
is increasing

41

Reasons for Germany


Immigration from Spain to
Germany is increasing

42

Reasons for Germany


Country

Germany

Japan

EASE OF DOING
BUSINESS

21

27

tp://espanol.doingbusiness.org/rankings

43

PESTEL Analysis

44

Politics
Government type: Federal
Republic
Chancellor: Angela Merkel
12th least corrupt
From 2015: minimum salary
of 8,50/h
Politics call for stricter

Politically stabile, minimum wage might be a threat

45

Economy
13th biggest working force
worldwide
Best performing country in EU
during the crisis
14th Prosperity Index
GDP grows slowly but stabile
Fast Food market growth of 2% (2012), market size 1011 billion
Opportunity: good economic situation, opponents are46in

Social
Social trend: Healthy and ecological
lifestyle caused in the demographic:
the German population ageing
considerably.
Largest consumption of Bread in EU.
84kg per year per capita
6th in Global Competitiveness Report
21st in the Ease of Doing Business
High social welfare, largest consumption of Bread
Threat: Image of an unhealthy brand Rebranding.

47

Social

48

Social

French fries 2nd, Sandwich 3rd

49

Technology
High technological standards
One of the most important startup,
new economy countries
Internet users: 68 Million
Railway network: 41.000 km length
(#6 world)
One of the best infrastructures worldwide
Threat: delivery food startups (delivery hero, lieferheld) are growing
50
100M App?!

Environment
9th in the Greendex
Environmental Performance Index: 17th
Turnaround in energy policy
increasing cost of energy
High environmental awareness

51

Legeslative
In surveys on political and legal
stability foreign investors put
Germany on second rank
legal stability attracts foreign
companies and benefits
entrepreneurial activities in
Germany

52

Competitor Analysis
Four main categories:
1. Fast food restaurants
2. Pubs
3. Refectory and cafeteria inside the
Universities
4. Brewery

53

Fast food Restaurants

McDonalds
Burger King
KFC
Subway
Nordsee
Delivery hero
Chipotle

Number of currently operating Outlets

Quality (from 0 to 5)

opening hours

McDonalds
Burger King
40
KFC
20
Average Price for
a meal
Subway
0
Nordsees
delivery hero
chipotle
Revenues in billion 100
$ montaditos

Factors Utilized

Ranking (from 0 to 5)

Number of currently
operating outlets

Average price for a


meal

Revenue

Operating hours

Quality

54

Pubs
100 Montaditos

Pubs

Young people
especially students
Spanish food
Beer
High quality of food
Near university or
academy
No local distrubutor

Stable and customary


clientele (25 55 years
old)
Typical German food
Beer
Medium to high quality
of food
Located all over the
country
Local distributor
55

Refectory and Cafeteria


100 Montaditos

Refectory or cafeteria inside


university

Young people
especially students
Spanish food
High quality of food
Near university or
academy
Fix price/ No
discounts
No Local distributor

Students
International food
Medium quality
Inside the
university/campus
Incentives or meal
plan
No local distributor
56

Beer factory/Brewery
Competitive
landscape
over 1,300 breweries
more than 40
companies
over 8 million litres in
terms
ofinvolume
Output
Million sales
6
5
4
3
2
1
0

Output in
Million

Best selling beers:


1. Oettinger
2. Krombacher
3. Bitburger
4. Becks
5. Warsteiner
6. Hasserder
7. Veltins
8. Paulaner
9. Radeberger
10. Erdinger

57

Beer factory/Brewery

100 Montaditos
Young people
especially students
Local beer
Economy of scale
with our supplier
Local
distributor/partnersh
ip with an already
affirmed Brewery

Breweries
Wide range of
population
Beer
Produce locally

58

Competition Matrix

59

Cultural differences Hofstedes cultural dimensions

Spanish culture
Collectivist
Middle power distance
In the middle of
masculinity and
feminity
High uncertainty
avoidance
Normative
Restrained

German culture
Individualistic
Low power
distance
Masculinity
High uncertainty
avoidance
Pragmatic
Restrained
60

Cultural differences

61

Market Segmentation

62

Segmentation
M 8.818.453

TOTAL
URBAN
MiddleCl
15ass
54
Year
s

22
%

17.363.
F 8.545.488
942
MIDDLECLASS
32.556.734

URBAN 56.132.300

GERMANY

63

Market Entry: MK Mix

64

Place
HAMBURG
BERLIN

KLN

FRANKFURT

MUNCHEN

Source: www.populationlabs.com

65

Place Munich
LMU
TUM

66

Price

GDP per
capita
29.851 $

40%
more

GDP per
capita
42.597 $

1,2

67

Promotion
Day of the
beer in
Germany
(April 23)

Word of
mouth

68

People
Culture

Employees

69

Process
A few opening in the most populated
cities
- Malls
- Centric zones
- Business areas
- Tourism areas
Franchising
70

Product
Same packaging

Some new differents flavours


Some new differents extras
Partner with a local company beer

Same furniture inside the establisment


71

Physicall enviroment
Our positioning:

Quality products
Large variety of ingredients
Nice enviroment
Cold beer
Affordable for everybody
72

Recommendations
Product diversification (not only
montaditos)
Keep on expanding in
different countries instead
of expanding in the ones
they already are in
Work on
brand
image and
how to have
loyal

Thank
74

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