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K E L S E Y H U N T
I N T E G R A T E D M A R K E T I N G C O M M U N I C A T I O N S M R K T 3 5 4
S E C T I O N 6 3 8 0 F A L L 2 0 1 5
PANERA BREAD
PANERA BREAD
EXECUTIVE SUMMARY
 Utilize Social Media to reach intended target markets via Instagram,
Twitter, and Facebook
• Promotion mix will focus on both traditional and non-traditional media
composed of:
- Online Video Ads
- Advertisements on popular Food & Lifestyle Blogs
- Social Media Platforms
- Print Advertising in Magazines, such as Redbook and Glamour
 Goal is to increase followers on all social media sites and generate a 40%
increase in brand awareness
 Advertising Campaign will focus on using ‘Slice of Life’ Framework for all
ads
 Advertisements will consist of Panera Bread customers and will appeal to
the emotions of our target audiences
PANERA BREAD
TABLE OF CONTENTS: PART 1
i: Current Marketing Situation
i: Product Description
ii: Competitive Position
iii: Value Proposition
iv: Market Characteristics
v: Buyer Decision Behavior
vi: Brand Strategy
vii: Lifecycle Stage and Benefit Analysis
viii: Channel design
ix: Communication Objectives
ii: Communication Objectives and Issues
PANERA BREAD
TABLE OF CONTENTS: PART 2
i: Overall message design strategy
ii: Message content
iii: Message structure
iv: Message format/executional
format
v: Media channels
vi: Message source
vii: Feedback metrics
PANERA BREAD
TABLE OF CONTENTS: PART 3
i: Overview Promotional Mix Tools I
ii: Promotional Budget
iii: Promotional Mix Tools
• A. Advertising Objectives
• B. Message Theme
• C. Media Strategy
• D. Public Relations
• E. Personal Selling
• F. Direct Marketing, E-Active, Online Objectives and Strategies
iv: Evaluating Plan Results
iii: Endnotes
iv: Bibliography
iiv: Exhibits
PANERA BREAD
CURRENT MARKETING SITUATION
Product Price Place Promotion
All menu items
use healthy, fresh
ingredients
All items are
under $20
Integrated
Bakery and Café
Store Fronts
Online Ordering
& In store Pick-
up3
Affordable meals
for various
market segments
‘You Pick 2’
option consisting
of Salads, Soups,
and Sandwiches2
Popular place for
meetings- both
business and
personal
Print
Eliminated
roughly 150
unhealthy
ingredients in
2015 already1,15
MyPanera
Rewards
Warm, inviting,
friendly
atmosphere
Online; social
media and
online videos
Television
PANERA BREAD DESCRIPTION
UPSCALE CONVENIENCE ITEM FOR INDIVIDUAL USE
Core
 Fresh & Healthy Foods
at an Affordable Price
 Community oriented
 Fast, Friendly Service
 Offers online ordering
and in-store pick-up
 Many customers meet
at Panera Bread on a
regular basis
Actual
Description
Augmented
 There are currently
1,926 bakery-cafes4
 Calories listed on
the menu boards
 Features a public
‘No-No’ List of
ingredients not
used
 Provides Free Wi-Fi
 All menu items
are priced under
$20
 Focuses on a
‘Transparent
Menu’5
 Catering
available for
business events
 Focuses on
Animal Welfare
PANERA BREAD
COMPETITIVE POSITION
Market Share: Panera
captures more than 53% of
the bakery cafés market
share6
Top Competitors consist of :7
Chipotle
Starbucks
Einstein Noah Restaurant
Group
 La Madeline Restaurant
 Panera Bread’s
disadvantage is as of
2013, projected sales
growth for 2014 were
2-3.5 %.8
 Panera Bread faces
competition with Chipotle
for introducing healthier
ingredients on all menu
items
 Panera Bread is the
industry leader in bakery
cafes9
PANERA BREAD’S
VALUE PROPOSITION
Panera Bread is
aware that
consumers want
healthier options
when they are
eating out
In response to
this, Panera
Bread has
promised to use
‘clean
ingredients’ by
the end of
201610
 Offers Online
Ordering, also
known as Panera
2.0.11
 The service allows
customers to
place an order
online and quickly
pick it up in store16
 This service is
especially
appealing to
business people
on the go
The company puts
customers needs first and
caters to them
 Panera Bread
understands the value of
healthy, great tasting
food at an affordable
price and is constantly
striving for the best
PART V: PANERA BREAD
MARKET CHARACTERISTICS
Undifferentiated Market: Customer’s come from various walks and life and
income levels
Measureable Profitable Accessible Distinguishable
Business
Professionals
Number of
business offices in
the surrounding
area
Business people
typically will
buy their lunch
Promotional
e-mails; provide
catering menus to
businesses
Marketing displays
healthy, quick
meals that can be
ordered online
and picked up
College
Students
College
enrollment
College
Students spend
money on food
Social media and
college campuses
Marketing shows
delicious
affordable meals
Families Demographics of
families and
average
household size
Parents with
children go out
to lunch with
friends often
TV commercials,
Print ads in
parenting
magazines
Marketing shows
convenient meals
featuring healthy
ingredients
PANERA BREAD
BUYER DECISION BEHAVIOR
Buyers use mostly habitual buying
behavior since most are purchasing a
product they’ve bought before or are
familiar with
The purchase is not expensive and the
customer doesn’t usually do any in-depth
prior research
Customers will research products has to
regarding allergy information of the food
and drinks
The product and service of Panera Bread
faces direct competition with other food
establishments such as Starbucks, Einstein
Bagels, and Chipotle
These food establishments have similar
price points and marketing objectives
PANERA BREAD
BRAND STRATEGY
Panera Bread is a national brand
that operates under the following
names:
Panera Bread®
Saint Louis Bread Co.®
Paradise Bakery & Café®
 The brand is recognized by
it’s earth tone color scheme
which denotes it’s use of
healthy ingredients
 Panera Bread’s brand name
is typically shortened by
customers and known simply
as ‘Panera’
PANERA BREAD
LIFE CYCLE STAGE & BENEFIT ANALYSIS
Currently in the
Maturity lifecycle
stage because it
has become
established national
brand
 Needs to focus on
gaining a
competitive
advantage
 The main target
audience focuses
in on the age
groups between
18-50
 This group consists
of business
professionals,
college students,
and parents
 This group will be
able to purchase
healthy, delicious
food that is also
budget friendly
and affordable
 The target
audiences are late
mainstream
because Panera
Brand is an
established brand
name and leader
in the Bakery café
market segment
 However,
consumers are still
looking for changes
to occur in this
industry, such as
healthier foods
PANERA BREAD CHANNEL DESIGN
 Panera Bread uses
selective distribution
because the product is
primarily sold at the store
front locations
 Items such as Panera
Bread pre-packaged
soups and gift cards can
be found at major retailers
such as Target and Giant
Distributed through Panera
Bread®, Target, Giant, Sam’s
Club, Amazon.com and
other retail outlets12
Panera
Bread
Panera
Bread
Stores
Retail
stores
Online
retail
stores
Customers
PANERA BREAD
COMMUNICATIONS OBJECTIVES
Selective distribution can be
limiting since the number of
Panera Bread’s products that
are available for sale in retail
stores is quite low13
 The Multichannel
Distribution System allows
for the customer to
purchase Panera Bread
products at major retailer,
such as Target14
PANERA BREAD
COMMUNICATIONS OBJECTIVES AND ISSUES
Objectives
 Increase customer knowledge of the
elimination of over 150 unhealthy
ingredients from 30% to 60%
 Increase product knowledge on the
newly reformulated products from 40%
to 70%
 Increase promotion for MyPanera
Rewards and gain at least 50,000
members by the end of 2016
 Increase usage of the Panera Bread
app on smartphones from 40% to 70%
Issues
 Dividing the budget amongst
various marketing ventures to
promote the new reformulated
menu
 Customers may be concerned
that the newly reformulated
products don’t taste the same
 Figure out who should be the
primary target of the MyPanera
Rewards in order to reach the
goal of 50,000 new members
PART 2
PANERA BREAD
COMMUNICATIONS STRATEGY RECOMMENDATIONS
Creative
Message Goal
Media
Channels Goal
Feedback
Metrics Goal
 To get everyday Panera Bread
customers to praise the new healthy,
changes to Panera Bread products
and recommend products to others
 To use a combination of media
channels, including traditional, non-
traditional, personal and non-personal,
in order to reach the intended target
markets
To acquire internal and external
feedback by using qualitative and
quantitate feedback metrics
PANERA BREAD
MESSAGE DESIGN STRATEGY
Key Idea & Promise
The key idea is that Panera
Bread has taken action in
order to make all products
healthy and eliminate all
artificial ingredients17
The key promise is that Panera
Bread wants what is best for
their customers. Making sure
that all ingredients in every
Panera Bread product are
ones found in customers
homes and pantry's.18
Constraints and Actions
 Use hashtag, #PaneraProud
on social media, to track
customers and gain insight
 Also use #PaneraProud in
print ads as a reflection of
Panera Bread’s core belief
“Food as it should be.”19
 Disclaimer needs to be
established in reference to
how one needs to maintain a
healthy lifestyle and eating a
well-balanced diet
PANERA BREAD
MESSAGE CONTENT
Specific Product
Information
Product Superiority22 Appeals
to the Consumer
Buyer Readiness
Stage
• Use of clean
ingredients in
all Panera
Bread
Products by
end of 201620
• Emphasis on
Transparency
21
• Public “No-
No” List of
prohibited
ingredients
• First U.S. national
restaurant
company to
publicly share a
comprehensive
list of ingredients
that have been
removed from its
menu (or will
never appear on
future items)
• No artificial
additives in all
products22
• Use a combination
of ethical and
emotional appeals
to draw in
consumers
• Provide consumers
with the strong
points of Panera’s
overhaul of
unhealthy
ingredients
• Target
audience is in
the Conviction
stage of buyer
readiness
• Need to get
consumers to
choose Panera
Bread over
competitors in
order to get
them to the
‘Buy’ stage of
consumer
readiness
PANERA BREAD
MESSAGE STRUCTURE
Goal is to focus on
‘Likeability’ of Panera
Bread
Traits to convey to
consumers:
• Warmth
• Ingenuity
• Meaningfulness
• Energy
Use one sided argument in
order to convey
genuineness to consumers
 Present Strongest
‘argument’
first in order to draw in the
consumers attention
PANERA BREAD
MESSAGE FORMAT/EXECUTIONAL FORMAT
Traditional Media
Non- Traditional
Media
 Use Panera’s recognizable neutral colors and logo for easy
brand recognition
 ‘Slice of Life’ framework will show consumers how the
hashtag #PaneraPower, is used in real life and what it
means to them
 Full page print ads will display the
hashtag #PaneraPower along with
a creative picture of Panera
Bread products
Generate regular posts using
#PaneraPower on all social
media platforms
PANERA BREAD
MEDIA CHANNELS
Media
Mix
Social
Media
Lifestyle and
Food Review
blogs
Short
online
Video Ads
Print ads in
Food &
Lifestyle
Magazines
Use a mixture of
personal and non-
personal media in order
to reach target
customers
 Utilize traditional and
non-traditional media in
order to grasp the
largest audience
 Media used by
competitors:
• Social Media
• Print advertising
• Online advertising
• Television
• Radio
 Media Mix
to use:
• Heavy focus
on Social
Media
• Online
advertising on
various types
of websites
• Short
advertisement
s on YouTube,
Hulu, and
Netflix
PANERA BREAD
MESSAGE SOURCE
Use real Panera Bread customers
in all ads to promote
transparency
 The target audience will trust
fellow Panera Bread customers
the most
 Use customers of various age
groups, ethnic backgrounds, and
lifestyles
 Doing so will appeal and add to
the ‘Slice of Life’ style framework
Panera Bread wants to project in
all ads
PANERA BREAD
FEEDBACK METRICS
Internal Feedback Metrics will consist of using various Focus
Groups in different areas of the United States to provide
feedback about Panera Bread’s recent changes
External Feedback metrics will consist of tracking the hashtag,
#PaneraPower, on all social media platforms. Doing so will give
us insight to see if the campaign is working and will provide
insight to how customers use and see Panera Bread
In the past, Panera Bread has used feedback metrics
consisting of customer satisfaction surveys as well as direct
customer feedback in the form of e-mail and letters
PART 3
PANERA BREAD
PROMOTION MIX
Use combination the following
mediums:
• Social media
• Online videos
• Print advertising
• Advertisements on Lifestyle &
Food review blogs
Why these mediums?
 Social media is fairly
inexpensive and easy to use
 Online videos appeal to vast
amount of viewers
 Popular blogs have a strong
following and readers trust the
bloggers opinions
General Media Strategies
• Use social media platforms such as
Instagram, Facebook, and Twitter
• Online videos will show real
Panera Bread customers trying the
newly improved menu items in a
real time setting
• Corporate website displays all
menu items along with nutrition
information23
PANERA BREAD
PROMOTION BUDGET
Measured Media: $3 million
• 30%- Social media advertising
• 30%- Online video ads
• 20%- Blog advertising
Traditional Media & Other- $1 million
-Print ads
- Focus Groups
• Use Top Down budget based on
percentage of sales method
• Will use Grey Advertising Agency 24
PANERA BREAD
PROMOTION MIX STRATEGY
Use a combination of
personal and non-personal
promotional strategies
Pull strategy will be utilized by:
• Enticing consumers with
coupons
• Generating buzz on social
media using the hashtag,
#PaneraPower
• Word of mouth advertising
from loyal customers
Focus of advertising
efforts will be during the
fall and holiday seasons
Why?
Consumers are more
likely to spend money
on food during these
two times of the year
PROMOTION MIX:
A. ADVERTISING OBJECTIVES
Goals
• Reach 60% of each intended
target audience within the
first six months
• Have 50% of coupons
redeemed within the first 8
months
• Gain additional 50,000
followers on Instagram in
three months
• Have at least 10,000
#PaneraPower Hashtags used
on social media in 6 months
• Offer coupons in both
digital and print format
• Use Social Media
formats to post about
coupons
• Print advertising in
magazines will include a
coupon
PROMOTION MIX
B. MESSAGE THEME
• Appeal to the lives of Panera’s everyday consumer
• Have ads depicting how Panera’s newly reformulated
menu is a better on-the-go food choice
• Use ‘Slice of Life Framework’ to convey a realistic
product image using real customers in all ads
• Major targets will be business professionals and college
students
• Establish an emotional connection with the brand
PROMOTION MIX
C. MEDIA STRATEGIES
Social Media
Platforms:
• Facebook
• Instagram
• Twitter
• YouTube
• During the Holidays
release three
different special
promotional
coupons
Current Social Media
Specs
25Facebook: Audience consists of
2,771,948 Page ‘Likes’
26Instagram: 81.5k Followers
27Twitter: 387k Followers
28YouTube: “Food As It Should Be”
Commercial has currently 3,001,146
views
PROMOTION MIX
D. PUBLIC RELATIONS
• Issue Press Release of all newly
changed menu items as well as a
‘No-no’ list of no-longer used
ingredients
• Arrange a segment on NBC’s
‘The Today Show’ in order to
showcase the new menu
changes
• Repost consumer’s pictures of
Panera’s newly changed menu
items on various social media
accounts
Newsworthy Event:
“Panera bakery-cafes
donated a retail value of
approximately $100 million
worth of unsold bread and
baked goods in 2013 to
help fight food insecurity in
our communities.”29
PROMOTION MIX
E. PERSONAL SELLING
• Ask customers if they would like
a sample of the ‘Product of the
Week’ with their order
• ‘Product of the Week’ will be a
newly reformulated menu item
• Have the staff ask if the
customer liked the sample they
received
• Ask customers to provide
feedback on new menu items
based on a 6 digit code on
their receipt that can be used
online
• Offer a free coffee for
providing their feedback via
the code on the receipt
PROMOTION MIX TOOLS
F. DIRECT MARKETING, E-ACTIVE &
ONLINE OBJECTIVES AND STRATEGIES
• Direct Marketing: Send out
Holiday coupon booklet to
customers with MyPanera
Rewards Accounts30
• The hashtag, #PaneraDate,
is popular on Instagram and
currently has 5,188 ‘tags’31
• Many Images with the tag,
#PaneraDate, consist of
happy Panera Bread
Customers and also of their
food
• Use the images and videos from
both hashtags, #PaneraDate &
#PaneraPower, to use in online
commercials
• Use Facebook in order to gain
direct feedback from consumers
PANERA BREAD
EVALUATING PLAN RESULTS
• Return on Investment with
sales revenue and sales
volume
• Increase awareness about
Panera Bread’s newly
reformulated menu items
• Have primary focus be on
Social Media advertising and
engaging with consumers
• Evaluate responses during
the Focus Groups and see
what needs to be improved
upon
• Analyze if the target groups are
using the hashtag
#PaneraPower on social media
platforms, such as Instagram
and Twitter, or not
• Measure how many new
MyPanera members are gained
within the first 6 months of the
campaign
• Use feedback metrics, such as
surveys, to analyze customers
satisfaction with the newly
reformulated products
ENDNOTES
• 1,10,17,18: http://fortune.com/2015/05/04/panera-bread-ingredients/
• 2: https://www.panerabread.com/en-us/featured-menu/you-pick-two.html
• 3,11: https://delivery1.panerabread.com/#!/
• 4,12: https://www.panerabread.com/en-us/company/about-panera/our-history.html
• 5: https://www.panerabread.com/en-us/our-beliefs/our-food-policy/transparent-menu.html
• 6,8,9: http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does-
panera-breads-anemic-sales-growth-mean-for-the-entire-bakery-cafe-franchise-sector/
•
• 7: http://www.hoovers.com/company-information/cs/company-
profile.Panera_Bread_Company.59b82960f75a0c07.html
• 13: https://www.panerabread.com/en-us/panera-at-home/cpg-product-info-brand-
soups.html
• 14: http://www.target.com/bp/panera
• 15: http://www.nytimes.com/2015/05/05/business/panera-bread-plans-to-drop-a-long-list-
of-ingredients.html?_r=1
• 16: http://fortune.com/2014/03/27/with-digital-ordering-panera-makes-a-big-bet-on-tech/
• 17, 18,20,21: http://www.nytimes.com/2015/07/05/business/paneras-mission-to-be-anything-
but-artificial.html?_r=0
• 19: https://www.panerabread.com/en-us/our-beliefs/food-as-it-should-be-nopt.html
• 22: https://www.panerabread.com/en-us/company-information/terms-of-use.html
ENDNOTES CONT.
• 23: https://www.panerabread.com/en-us/menu-categories/freshly-
baked-breads.html#french
• 24; http://grey.com/global
• 25:https://www.facebook.com/panerabread?fref=ts
• 26:https://instagram.com/panerabread/?hl=en
• 27:https://twitter.com/panerabread?ref_src=twsrc%5Egoogle%7Ctwca
mp%5Eserp%7Ctwgr%5Eauthor
• 28:https://www.youtube.com/watch?v=siNpOGBv7Ak
• 29: https://www.panerabread.com/en-us/articles/day-end-and-in-kind-
donations.html
• 30: https://instagram.com/explore/tags/paneradate/
• 31: https://www.panerabread.com/en-us/company/meet-
mypanera.html
BIBLIOGRAPHY
#paneradate • Instagram photos and videos. (2015). Retrieved October 6, 2015, from
https://instagram.com/explore/tags/paneradate/
Bixler, B. (2014, June 18). Franchise Chatter Guide: What Does Panera Bread’s Anemic Sales Growth Mean for
the Entire Bakery Cafe Franchise Sector? - See more at:
Http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does-panera-breads-anemic-
sales-growth-mean-for-. Retrieved August 31, 2015, from
http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does-panera-breads-anemic-
sales-growth-mean-for-the-entire-bakery-cafe-franchise-sector/
Day-End Dough-Nation™ & In-Kind Donations. (2015). Retrieved October 6, 2015, from
https://www.panerabread.com/en-us/articles/day-end-and-in-kind-donations.html
Food as it should be (commercial) [Motion picture]. (2015). https://www.youtube.com/watch?v=siNpOGBv7Ak
Freshly Baked Breads. (2015). Retrieved October 6, 2015, from https://www.panerabread.com/en-us/menu-
categories/freshly-baked-breads.html#french
Gelles, D. (2015, July 4). Panera's Mission to Be Anything but Artificial. Retrieved September 19, 2015, from
http://www.nytimes.com/2015/07/05/business/paneras-mission-to-be-anything-but-artificial.html?_r=0
Global | Grey Advertising Global | Famously Effective Since 1917. (2015). Retrieved October 6, 2015,
from http://grey.com/global
Kell, J. (2015, May 4). Panera CEO says 'no' to unacceptable ingredients. Retrieved
BIBLIOGRAPHY CONT.
Kowitt, B. (2014, March 27). With digital ordering, Panera makes a big bet on tech. Retrieved
August 31, 2015, from http://fortune.com/2014/03/27/with-digital-ordering-panera-makes-a-
big-bet-on-tech/
Our Food Policy: Transparent Menu. (2015). Retrieved August 31, 2015, from
https://www.panerabread.com/en-us/our-beliefs/our-food-policy/transparent-menu.html
Panera Bread (@panerabread) • Instagram photos and videos. (2015). Retrieved October
6, 2015, from https://instagram.com/panerabread/?hl=en
Panera Bread Facebook Page. (2015). Retrieved October 6, 2015, from
https://www.facebook.com/panerabread?fref=ts
Panera Bread Twitter. (2015). Retrieved October 6, 2015, from
https://twitter.com/panerabread?ref_src=twsrc^google|twcamp^serp|twgr^author
Panera Bread Ordering Application. (2015). Retrieved August 31, 2015, from
https://delivery1.panerabread.com/#!/
Panera Bread Company: Company Information. (2015). Retrieved August 31, 2015, from
http://www.hoovers.com/company-information/cs/company-
profile.Panera_Bread_Company.59b82960f75a0c07.html
Panera Bread Company: Company Information. (2015). Retrieved August 31, 2015, from
http://www.hoovers.com/company-information/cs/company-
profile.Panera_Bread_Company.59b82960f75a0c07.html
BIBLIOGRAPHY CONT.
Meet MyPanera. (2015). Retrieved October 6, 2015, from https://www.panerabread.com/en-us/company/meet-
mypanera.html
Our Food Policy: Transparent Menu. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/our-
beliefs/our-food-policy/transparent-menu.html
Panera Bread Ordering Application. (2015). Retrieved August 31, 2015, from https://delivery1.panerabread.com/#!/
Panera Bread Company: Company Information. (2015). Retrieved August 31, 2015, from http://www.hoovers.com/company-
information/cs/company-profile.Panera_Bread_Company.59b82960f75a0c07.html
Panera Bread at Target. (2015). Retrieved August 31, 2015, from http://www.target.com/bp/panera
Rethink HomemadeTM. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/panera-at-home/cpg-
product-info-brand-soups.html
Strom, S. (2015, May 4). Panera Bread Plans to Drop a Long List of Ingredients. Retrieved August 31, 2015, from
http://www.nytimes.com/2015/05/05/business/panera-bread-plans-to-drop-a-long-list-of-ingredients.html?_r=1
Terms Of Use. (2015). Retrieved September 19, 2015, from https://www.panerabread.com/en-us/company-information/terms-of-
use.html
You Pick Two. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/featured-menu/you-pick-two.html
We Are Panera. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/company/about-panera/our-
history.html
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SHOW HUNT IMC Project MRKT 354

  • 1. K E L S E Y H U N T I N T E G R A T E D M A R K E T I N G C O M M U N I C A T I O N S M R K T 3 5 4 S E C T I O N 6 3 8 0 F A L L 2 0 1 5 PANERA BREAD
  • 2. PANERA BREAD EXECUTIVE SUMMARY  Utilize Social Media to reach intended target markets via Instagram, Twitter, and Facebook • Promotion mix will focus on both traditional and non-traditional media composed of: - Online Video Ads - Advertisements on popular Food & Lifestyle Blogs - Social Media Platforms - Print Advertising in Magazines, such as Redbook and Glamour  Goal is to increase followers on all social media sites and generate a 40% increase in brand awareness  Advertising Campaign will focus on using ‘Slice of Life’ Framework for all ads  Advertisements will consist of Panera Bread customers and will appeal to the emotions of our target audiences
  • 3. PANERA BREAD TABLE OF CONTENTS: PART 1 i: Current Marketing Situation i: Product Description ii: Competitive Position iii: Value Proposition iv: Market Characteristics v: Buyer Decision Behavior vi: Brand Strategy vii: Lifecycle Stage and Benefit Analysis viii: Channel design ix: Communication Objectives ii: Communication Objectives and Issues
  • 4. PANERA BREAD TABLE OF CONTENTS: PART 2 i: Overall message design strategy ii: Message content iii: Message structure iv: Message format/executional format v: Media channels vi: Message source vii: Feedback metrics
  • 5. PANERA BREAD TABLE OF CONTENTS: PART 3 i: Overview Promotional Mix Tools I ii: Promotional Budget iii: Promotional Mix Tools • A. Advertising Objectives • B. Message Theme • C. Media Strategy • D. Public Relations • E. Personal Selling • F. Direct Marketing, E-Active, Online Objectives and Strategies iv: Evaluating Plan Results iii: Endnotes iv: Bibliography iiv: Exhibits
  • 6. PANERA BREAD CURRENT MARKETING SITUATION Product Price Place Promotion All menu items use healthy, fresh ingredients All items are under $20 Integrated Bakery and Café Store Fronts Online Ordering & In store Pick- up3 Affordable meals for various market segments ‘You Pick 2’ option consisting of Salads, Soups, and Sandwiches2 Popular place for meetings- both business and personal Print Eliminated roughly 150 unhealthy ingredients in 2015 already1,15 MyPanera Rewards Warm, inviting, friendly atmosphere Online; social media and online videos Television
  • 7. PANERA BREAD DESCRIPTION UPSCALE CONVENIENCE ITEM FOR INDIVIDUAL USE Core  Fresh & Healthy Foods at an Affordable Price  Community oriented  Fast, Friendly Service  Offers online ordering and in-store pick-up  Many customers meet at Panera Bread on a regular basis Actual Description Augmented  There are currently 1,926 bakery-cafes4  Calories listed on the menu boards  Features a public ‘No-No’ List of ingredients not used  Provides Free Wi-Fi  All menu items are priced under $20  Focuses on a ‘Transparent Menu’5  Catering available for business events  Focuses on Animal Welfare
  • 8. PANERA BREAD COMPETITIVE POSITION Market Share: Panera captures more than 53% of the bakery cafés market share6 Top Competitors consist of :7 Chipotle Starbucks Einstein Noah Restaurant Group  La Madeline Restaurant  Panera Bread’s disadvantage is as of 2013, projected sales growth for 2014 were 2-3.5 %.8  Panera Bread faces competition with Chipotle for introducing healthier ingredients on all menu items  Panera Bread is the industry leader in bakery cafes9
  • 9. PANERA BREAD’S VALUE PROPOSITION Panera Bread is aware that consumers want healthier options when they are eating out In response to this, Panera Bread has promised to use ‘clean ingredients’ by the end of 201610  Offers Online Ordering, also known as Panera 2.0.11  The service allows customers to place an order online and quickly pick it up in store16  This service is especially appealing to business people on the go The company puts customers needs first and caters to them  Panera Bread understands the value of healthy, great tasting food at an affordable price and is constantly striving for the best
  • 10. PART V: PANERA BREAD MARKET CHARACTERISTICS Undifferentiated Market: Customer’s come from various walks and life and income levels Measureable Profitable Accessible Distinguishable Business Professionals Number of business offices in the surrounding area Business people typically will buy their lunch Promotional e-mails; provide catering menus to businesses Marketing displays healthy, quick meals that can be ordered online and picked up College Students College enrollment College Students spend money on food Social media and college campuses Marketing shows delicious affordable meals Families Demographics of families and average household size Parents with children go out to lunch with friends often TV commercials, Print ads in parenting magazines Marketing shows convenient meals featuring healthy ingredients
  • 11. PANERA BREAD BUYER DECISION BEHAVIOR Buyers use mostly habitual buying behavior since most are purchasing a product they’ve bought before or are familiar with The purchase is not expensive and the customer doesn’t usually do any in-depth prior research Customers will research products has to regarding allergy information of the food and drinks The product and service of Panera Bread faces direct competition with other food establishments such as Starbucks, Einstein Bagels, and Chipotle These food establishments have similar price points and marketing objectives
  • 12. PANERA BREAD BRAND STRATEGY Panera Bread is a national brand that operates under the following names: Panera Bread® Saint Louis Bread Co.® Paradise Bakery & Café®  The brand is recognized by it’s earth tone color scheme which denotes it’s use of healthy ingredients  Panera Bread’s brand name is typically shortened by customers and known simply as ‘Panera’
  • 13. PANERA BREAD LIFE CYCLE STAGE & BENEFIT ANALYSIS Currently in the Maturity lifecycle stage because it has become established national brand  Needs to focus on gaining a competitive advantage  The main target audience focuses in on the age groups between 18-50  This group consists of business professionals, college students, and parents  This group will be able to purchase healthy, delicious food that is also budget friendly and affordable  The target audiences are late mainstream because Panera Brand is an established brand name and leader in the Bakery café market segment  However, consumers are still looking for changes to occur in this industry, such as healthier foods
  • 14. PANERA BREAD CHANNEL DESIGN  Panera Bread uses selective distribution because the product is primarily sold at the store front locations  Items such as Panera Bread pre-packaged soups and gift cards can be found at major retailers such as Target and Giant Distributed through Panera Bread®, Target, Giant, Sam’s Club, Amazon.com and other retail outlets12 Panera Bread Panera Bread Stores Retail stores Online retail stores Customers
  • 15. PANERA BREAD COMMUNICATIONS OBJECTIVES Selective distribution can be limiting since the number of Panera Bread’s products that are available for sale in retail stores is quite low13  The Multichannel Distribution System allows for the customer to purchase Panera Bread products at major retailer, such as Target14
  • 16. PANERA BREAD COMMUNICATIONS OBJECTIVES AND ISSUES Objectives  Increase customer knowledge of the elimination of over 150 unhealthy ingredients from 30% to 60%  Increase product knowledge on the newly reformulated products from 40% to 70%  Increase promotion for MyPanera Rewards and gain at least 50,000 members by the end of 2016  Increase usage of the Panera Bread app on smartphones from 40% to 70% Issues  Dividing the budget amongst various marketing ventures to promote the new reformulated menu  Customers may be concerned that the newly reformulated products don’t taste the same  Figure out who should be the primary target of the MyPanera Rewards in order to reach the goal of 50,000 new members
  • 18. PANERA BREAD COMMUNICATIONS STRATEGY RECOMMENDATIONS Creative Message Goal Media Channels Goal Feedback Metrics Goal  To get everyday Panera Bread customers to praise the new healthy, changes to Panera Bread products and recommend products to others  To use a combination of media channels, including traditional, non- traditional, personal and non-personal, in order to reach the intended target markets To acquire internal and external feedback by using qualitative and quantitate feedback metrics
  • 19. PANERA BREAD MESSAGE DESIGN STRATEGY Key Idea & Promise The key idea is that Panera Bread has taken action in order to make all products healthy and eliminate all artificial ingredients17 The key promise is that Panera Bread wants what is best for their customers. Making sure that all ingredients in every Panera Bread product are ones found in customers homes and pantry's.18 Constraints and Actions  Use hashtag, #PaneraProud on social media, to track customers and gain insight  Also use #PaneraProud in print ads as a reflection of Panera Bread’s core belief “Food as it should be.”19  Disclaimer needs to be established in reference to how one needs to maintain a healthy lifestyle and eating a well-balanced diet
  • 20. PANERA BREAD MESSAGE CONTENT Specific Product Information Product Superiority22 Appeals to the Consumer Buyer Readiness Stage • Use of clean ingredients in all Panera Bread Products by end of 201620 • Emphasis on Transparency 21 • Public “No- No” List of prohibited ingredients • First U.S. national restaurant company to publicly share a comprehensive list of ingredients that have been removed from its menu (or will never appear on future items) • No artificial additives in all products22 • Use a combination of ethical and emotional appeals to draw in consumers • Provide consumers with the strong points of Panera’s overhaul of unhealthy ingredients • Target audience is in the Conviction stage of buyer readiness • Need to get consumers to choose Panera Bread over competitors in order to get them to the ‘Buy’ stage of consumer readiness
  • 21. PANERA BREAD MESSAGE STRUCTURE Goal is to focus on ‘Likeability’ of Panera Bread Traits to convey to consumers: • Warmth • Ingenuity • Meaningfulness • Energy Use one sided argument in order to convey genuineness to consumers  Present Strongest ‘argument’ first in order to draw in the consumers attention
  • 22. PANERA BREAD MESSAGE FORMAT/EXECUTIONAL FORMAT Traditional Media Non- Traditional Media  Use Panera’s recognizable neutral colors and logo for easy brand recognition  ‘Slice of Life’ framework will show consumers how the hashtag #PaneraPower, is used in real life and what it means to them  Full page print ads will display the hashtag #PaneraPower along with a creative picture of Panera Bread products Generate regular posts using #PaneraPower on all social media platforms
  • 23. PANERA BREAD MEDIA CHANNELS Media Mix Social Media Lifestyle and Food Review blogs Short online Video Ads Print ads in Food & Lifestyle Magazines Use a mixture of personal and non- personal media in order to reach target customers  Utilize traditional and non-traditional media in order to grasp the largest audience  Media used by competitors: • Social Media • Print advertising • Online advertising • Television • Radio  Media Mix to use: • Heavy focus on Social Media • Online advertising on various types of websites • Short advertisement s on YouTube, Hulu, and Netflix
  • 24. PANERA BREAD MESSAGE SOURCE Use real Panera Bread customers in all ads to promote transparency  The target audience will trust fellow Panera Bread customers the most  Use customers of various age groups, ethnic backgrounds, and lifestyles  Doing so will appeal and add to the ‘Slice of Life’ style framework Panera Bread wants to project in all ads
  • 25. PANERA BREAD FEEDBACK METRICS Internal Feedback Metrics will consist of using various Focus Groups in different areas of the United States to provide feedback about Panera Bread’s recent changes External Feedback metrics will consist of tracking the hashtag, #PaneraPower, on all social media platforms. Doing so will give us insight to see if the campaign is working and will provide insight to how customers use and see Panera Bread In the past, Panera Bread has used feedback metrics consisting of customer satisfaction surveys as well as direct customer feedback in the form of e-mail and letters
  • 27. PANERA BREAD PROMOTION MIX Use combination the following mediums: • Social media • Online videos • Print advertising • Advertisements on Lifestyle & Food review blogs Why these mediums?  Social media is fairly inexpensive and easy to use  Online videos appeal to vast amount of viewers  Popular blogs have a strong following and readers trust the bloggers opinions General Media Strategies • Use social media platforms such as Instagram, Facebook, and Twitter • Online videos will show real Panera Bread customers trying the newly improved menu items in a real time setting • Corporate website displays all menu items along with nutrition information23
  • 28. PANERA BREAD PROMOTION BUDGET Measured Media: $3 million • 30%- Social media advertising • 30%- Online video ads • 20%- Blog advertising Traditional Media & Other- $1 million -Print ads - Focus Groups • Use Top Down budget based on percentage of sales method • Will use Grey Advertising Agency 24
  • 29. PANERA BREAD PROMOTION MIX STRATEGY Use a combination of personal and non-personal promotional strategies Pull strategy will be utilized by: • Enticing consumers with coupons • Generating buzz on social media using the hashtag, #PaneraPower • Word of mouth advertising from loyal customers Focus of advertising efforts will be during the fall and holiday seasons Why? Consumers are more likely to spend money on food during these two times of the year
  • 30. PROMOTION MIX: A. ADVERTISING OBJECTIVES Goals • Reach 60% of each intended target audience within the first six months • Have 50% of coupons redeemed within the first 8 months • Gain additional 50,000 followers on Instagram in three months • Have at least 10,000 #PaneraPower Hashtags used on social media in 6 months • Offer coupons in both digital and print format • Use Social Media formats to post about coupons • Print advertising in magazines will include a coupon
  • 31. PROMOTION MIX B. MESSAGE THEME • Appeal to the lives of Panera’s everyday consumer • Have ads depicting how Panera’s newly reformulated menu is a better on-the-go food choice • Use ‘Slice of Life Framework’ to convey a realistic product image using real customers in all ads • Major targets will be business professionals and college students • Establish an emotional connection with the brand
  • 32. PROMOTION MIX C. MEDIA STRATEGIES Social Media Platforms: • Facebook • Instagram • Twitter • YouTube • During the Holidays release three different special promotional coupons Current Social Media Specs 25Facebook: Audience consists of 2,771,948 Page ‘Likes’ 26Instagram: 81.5k Followers 27Twitter: 387k Followers 28YouTube: “Food As It Should Be” Commercial has currently 3,001,146 views
  • 33. PROMOTION MIX D. PUBLIC RELATIONS • Issue Press Release of all newly changed menu items as well as a ‘No-no’ list of no-longer used ingredients • Arrange a segment on NBC’s ‘The Today Show’ in order to showcase the new menu changes • Repost consumer’s pictures of Panera’s newly changed menu items on various social media accounts Newsworthy Event: “Panera bakery-cafes donated a retail value of approximately $100 million worth of unsold bread and baked goods in 2013 to help fight food insecurity in our communities.”29
  • 34. PROMOTION MIX E. PERSONAL SELLING • Ask customers if they would like a sample of the ‘Product of the Week’ with their order • ‘Product of the Week’ will be a newly reformulated menu item • Have the staff ask if the customer liked the sample they received • Ask customers to provide feedback on new menu items based on a 6 digit code on their receipt that can be used online • Offer a free coffee for providing their feedback via the code on the receipt
  • 35. PROMOTION MIX TOOLS F. DIRECT MARKETING, E-ACTIVE & ONLINE OBJECTIVES AND STRATEGIES • Direct Marketing: Send out Holiday coupon booklet to customers with MyPanera Rewards Accounts30 • The hashtag, #PaneraDate, is popular on Instagram and currently has 5,188 ‘tags’31 • Many Images with the tag, #PaneraDate, consist of happy Panera Bread Customers and also of their food • Use the images and videos from both hashtags, #PaneraDate & #PaneraPower, to use in online commercials • Use Facebook in order to gain direct feedback from consumers
  • 36. PANERA BREAD EVALUATING PLAN RESULTS • Return on Investment with sales revenue and sales volume • Increase awareness about Panera Bread’s newly reformulated menu items • Have primary focus be on Social Media advertising and engaging with consumers • Evaluate responses during the Focus Groups and see what needs to be improved upon • Analyze if the target groups are using the hashtag #PaneraPower on social media platforms, such as Instagram and Twitter, or not • Measure how many new MyPanera members are gained within the first 6 months of the campaign • Use feedback metrics, such as surveys, to analyze customers satisfaction with the newly reformulated products
  • 37. ENDNOTES • 1,10,17,18: http://fortune.com/2015/05/04/panera-bread-ingredients/ • 2: https://www.panerabread.com/en-us/featured-menu/you-pick-two.html • 3,11: https://delivery1.panerabread.com/#!/ • 4,12: https://www.panerabread.com/en-us/company/about-panera/our-history.html • 5: https://www.panerabread.com/en-us/our-beliefs/our-food-policy/transparent-menu.html • 6,8,9: http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does- panera-breads-anemic-sales-growth-mean-for-the-entire-bakery-cafe-franchise-sector/ • • 7: http://www.hoovers.com/company-information/cs/company- profile.Panera_Bread_Company.59b82960f75a0c07.html • 13: https://www.panerabread.com/en-us/panera-at-home/cpg-product-info-brand- soups.html • 14: http://www.target.com/bp/panera • 15: http://www.nytimes.com/2015/05/05/business/panera-bread-plans-to-drop-a-long-list- of-ingredients.html?_r=1 • 16: http://fortune.com/2014/03/27/with-digital-ordering-panera-makes-a-big-bet-on-tech/ • 17, 18,20,21: http://www.nytimes.com/2015/07/05/business/paneras-mission-to-be-anything- but-artificial.html?_r=0 • 19: https://www.panerabread.com/en-us/our-beliefs/food-as-it-should-be-nopt.html • 22: https://www.panerabread.com/en-us/company-information/terms-of-use.html
  • 38. ENDNOTES CONT. • 23: https://www.panerabread.com/en-us/menu-categories/freshly- baked-breads.html#french • 24; http://grey.com/global • 25:https://www.facebook.com/panerabread?fref=ts • 26:https://instagram.com/panerabread/?hl=en • 27:https://twitter.com/panerabread?ref_src=twsrc%5Egoogle%7Ctwca mp%5Eserp%7Ctwgr%5Eauthor • 28:https://www.youtube.com/watch?v=siNpOGBv7Ak • 29: https://www.panerabread.com/en-us/articles/day-end-and-in-kind- donations.html • 30: https://instagram.com/explore/tags/paneradate/ • 31: https://www.panerabread.com/en-us/company/meet- mypanera.html
  • 39. BIBLIOGRAPHY #paneradate • Instagram photos and videos. (2015). Retrieved October 6, 2015, from https://instagram.com/explore/tags/paneradate/ Bixler, B. (2014, June 18). Franchise Chatter Guide: What Does Panera Bread’s Anemic Sales Growth Mean for the Entire Bakery Cafe Franchise Sector? - See more at: Http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does-panera-breads-anemic- sales-growth-mean-for-. Retrieved August 31, 2015, from http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does-panera-breads-anemic- sales-growth-mean-for-the-entire-bakery-cafe-franchise-sector/ Day-End Dough-Nation™ & In-Kind Donations. (2015). Retrieved October 6, 2015, from https://www.panerabread.com/en-us/articles/day-end-and-in-kind-donations.html Food as it should be (commercial) [Motion picture]. (2015). https://www.youtube.com/watch?v=siNpOGBv7Ak Freshly Baked Breads. (2015). Retrieved October 6, 2015, from https://www.panerabread.com/en-us/menu- categories/freshly-baked-breads.html#french Gelles, D. (2015, July 4). Panera's Mission to Be Anything but Artificial. Retrieved September 19, 2015, from http://www.nytimes.com/2015/07/05/business/paneras-mission-to-be-anything-but-artificial.html?_r=0 Global | Grey Advertising Global | Famously Effective Since 1917. (2015). Retrieved October 6, 2015, from http://grey.com/global Kell, J. (2015, May 4). Panera CEO says 'no' to unacceptable ingredients. Retrieved
  • 40. BIBLIOGRAPHY CONT. Kowitt, B. (2014, March 27). With digital ordering, Panera makes a big bet on tech. Retrieved August 31, 2015, from http://fortune.com/2014/03/27/with-digital-ordering-panera-makes-a- big-bet-on-tech/ Our Food Policy: Transparent Menu. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/our-beliefs/our-food-policy/transparent-menu.html Panera Bread (@panerabread) • Instagram photos and videos. (2015). Retrieved October 6, 2015, from https://instagram.com/panerabread/?hl=en Panera Bread Facebook Page. (2015). Retrieved October 6, 2015, from https://www.facebook.com/panerabread?fref=ts Panera Bread Twitter. (2015). Retrieved October 6, 2015, from https://twitter.com/panerabread?ref_src=twsrc^google|twcamp^serp|twgr^author Panera Bread Ordering Application. (2015). Retrieved August 31, 2015, from https://delivery1.panerabread.com/#!/ Panera Bread Company: Company Information. (2015). Retrieved August 31, 2015, from http://www.hoovers.com/company-information/cs/company- profile.Panera_Bread_Company.59b82960f75a0c07.html Panera Bread Company: Company Information. (2015). Retrieved August 31, 2015, from http://www.hoovers.com/company-information/cs/company- profile.Panera_Bread_Company.59b82960f75a0c07.html
  • 41. BIBLIOGRAPHY CONT. Meet MyPanera. (2015). Retrieved October 6, 2015, from https://www.panerabread.com/en-us/company/meet- mypanera.html Our Food Policy: Transparent Menu. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/our- beliefs/our-food-policy/transparent-menu.html Panera Bread Ordering Application. (2015). Retrieved August 31, 2015, from https://delivery1.panerabread.com/#!/ Panera Bread Company: Company Information. (2015). Retrieved August 31, 2015, from http://www.hoovers.com/company- information/cs/company-profile.Panera_Bread_Company.59b82960f75a0c07.html Panera Bread at Target. (2015). Retrieved August 31, 2015, from http://www.target.com/bp/panera Rethink HomemadeTM. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/panera-at-home/cpg- product-info-brand-soups.html Strom, S. (2015, May 4). Panera Bread Plans to Drop a Long List of Ingredients. Retrieved August 31, 2015, from http://www.nytimes.com/2015/05/05/business/panera-bread-plans-to-drop-a-long-list-of-ingredients.html?_r=1 Terms Of Use. (2015). Retrieved September 19, 2015, from https://www.panerabread.com/en-us/company-information/terms-of- use.html You Pick Two. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/featured-menu/you-pick-two.html We Are Panera. (2015). Retrieved August 31, 2015, from https://www.panerabread.com/en-us/company/about-panera/our- history.html

Notes de l'éditeur

  1. 1: http://fortune.com/2015/05/04/panera-bread-ingredients/ 2: https://www.panerabread.com/en-us/featured-menu/you-pick-two.html 3: https://delivery1.panerabread.com/#!/
  2. 4: https://www.panerabread.com/en-us/company/about-panera/our-history.html 5: https://www.panerabread.com/en-us/our-beliefs/our-food-policy/transparent-menu.html
  3. 7: http://www.hoovers.com/company-information/cs/company-profile.Panera_Bread_Company.59b82960f75a0c07.html 6,8,9: http://www.franchisechatter.com/2014/06/18/franchise-chatter-guide-what-does-panera-breads-anemic-sales-growth-mean-for-the-entire-bakery-cafe-franchise-sector/
  4. 10: http://fortune.com/2015/05/04/panera-bread-ingredients/ 11: https://delivery1.panerabread.com/#!/
  5. 12: https://www.panerabread.com/en-us/company/about-panera/our-history.html
  6. 13: https://www.panerabread.com/panerabread/cpg/panera-at-home-where-to-buy-map.pdf
  7. 14: https://www.panerabread.com/en-us/panera-at-home/cpg-product-info-brand-soups.html 15: http://www.target.com/bp/panera
  8. 17, 18: http://www.nytimes.com/2015/07/05/business/paneras-mission-to-be-anything-but-artificial.html?_r=0 19: https://www.panerabread.com/en-us/our-beliefs/food-as-it-should-be-nopt.html
  9. 20,21: http://www.nytimes.com/2015/07/05/business/paneras-mission-to-be-anything-but-artificial.html?_r=0 22: https://www.panerabread.com/en-us/company-information/terms-of-use.html
  10. 23:https://www.panerabread.com/en-us/menu-categories/freshly-baked-breads.html#french
  11. 24; http://grey.com/global
  12. https://www.youtube.com/watch?v=siNpOGBv7Ak https://www.facebook.com/panerabread?fref=ts https://twitter.com/panerabread?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor https://instagram.com/panerabread/?hl=en
  13. https://www.panerabread.com/en-us/articles/day-end-and-in-kind-donations.html
  14. https://instagram.com/explore/tags/paneradate/ https://www.panerabread.com/en-us/company/meet-mypanera.html
  15. http://www.mockquestions.com/images/logos/panera_bread.png http://theamericangenius.com/business-news/paneras-kind-gesture-humanity-business/ http://m.visitmiamicounty.org/images/restaurants/panera.png http://www.jimdonovan.com/wp-content/uploads/2011/12/panera-bread.jpg