Salsa_de_Aguila_Report
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University of North Texas *
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4560
Subject
Marketing
Date
Apr 3, 2024
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2
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Salsa De Aguila Report
Group 29
Bryan Ward, Adam Zinda, Tyler Boulanger,
Chris Peticolas, Zaaria Jordan
Product Description, Positioning, and Value Proposition
Target Customers and Market Analysis
Pricing, Sales, Promotion, and Marketing Strategy
III. Financial Analysis and Business Model (Bryan)
The financial investment that would be required for Salsa de Aguila to be successful would be justified through an accurate financial analysis of salsa sales, production cost, sales cost, and other costs. By following a sound business model that we as a team will be able to follow as through the years will be another reason to justify the financial investment to start up a manufacturing plant in Atlanta, Georgia that will have the capacity generate up to 30,000 jars of salsa a month. This will come about because we set forth to sell our organic
and fresh salsa to at a retail price of $3.00 per jar of salsa. Within this price of a jar a salsa will be set margins for our partners that are a part of our supply chain. By setting a retail price that will sell and negotiating margins with our partners that will allow them optimal profits we will be able to pass along discounts made through these successful negotiations down the supply chain decreasing the landed cost. Through effective managing of manufacturing the immersive marketing will succeed through various channels including; Twitter, Instagram, and Spotify among others. These channels will be boost our brand awareness and sales of salsa that due to that awareness. Having consumers recognize our label and name is key when they are shopping for salsa at Comida and the end consumer will want to purchase our product over our competitors products. Not only does price matter but the familiarity of the product is a key factor when consumers are purchasing low involvement products such as salsa. Paying for targeted advertisements and boosting posts to recommended on all social media platforms will spread the Salsa de Aguila mission and vision to potential customers. The cost per click on facebook for example is approximately $0.19. That is the price that would have to be paid when someone clicks on the advertisement that takes them to our website and would result in a purchase of Salsa de Aguila. Therefore accurate financial analysis of data to assist with business decisions and a strong Business Model of immersive marketing and high quality salsa will allow us as a team
to be successful. IV. Supply Chain Design: Production and Distribution (Tyler)
Salsa de Aguila’s supply chain network begins with its food-based production facility that
is located in Atlanta, GA. This location is optimal due to the easy accessibility that is provided to the high-demand Comida Market Distribution Centers along the southeastern United States and
the east coast. There are several factors that play a role in the success of Salsa de Aguila’s production facility. This facility will utilize low skill labor but will strive to meet various key performance measures such as safety, profit contribution, and inventory turnover. These KPI’s are put in place for controlling and improving all production systems for maximum efficiency. The production facility will also utilize a just-in-time inventory strategy to reduce inventory costs and increase customer satisfaction. Proper demand forecasting will allow for accurate quarterly safety stock reports. This salsa will be produced in-house but the supplies and ingredients used to manufacture will all be outsourced. The materials and ingredients needed include cardboard boxes, plastic containers, jalapeno peppers, onions, garlic, spices, corn starch, and distilled vinegar. Salsa de Aguila ‘s most notable produce ingredient is the jalapeno. This form of produce will be sourced from the 3PL that we will reach out to for numerous logistics solutions. C.H. Robinson’s business brand, Robinson Fresh, will provide Salsa de Aguila access to jalapenos for salsa production while maintaining an existing relationship with our freight broker. Transportation through the use of trailers will be key in Salsa de Aguilas distribution strategy. This transportation mode is advantageous in that it’s cost-effective, timely, accessible, and easy
to monitor. It’s extremely important that in both importing ingredients and transporting the finished product to the Comida Market distribution centers that the product stays fresh. Refrigerated less than truckload services are optimal in achieving this goal while maintaining a cost-effective transportation strategy.
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