Marketing Strategy for Arnott's Tim Tam Chill Me Biscuit

Running head: FOOD MARKETING
Food Marketing
Student’s name:
Name of the university:
Author’s note:

1FOOD MARKETING
Table of Contents
1. Brief background to the industry and product........................................................................2
2. Identification and profiling of key market segments and consumer decision-making process
....................................................................................................................................................3
2.1 Market segmentation and Target market..........................................................................3
2.2 Decision-making for the product category.......................................................................5
3. Development of the marketing strategy of selected product..................................................6
3.1 Positioning of the product................................................................................................6
3.2 Marketing mix..................................................................................................................7
4. Development of strategies to interrupt routine behaviour at the point-of-sale......................9
4.1 Routine behaviour of customers.......................................................................................9
4.2 Interrupting routine behaviour.........................................................................................9
Reference List..........................................................................................................................11

2FOOD MARKETING
1. Brief background to the industry and product
Arnott’s is a famous confectioner and it started its journey in the year 1865 in
Newcastle, in Australia. It mainly supplied bread, biscuits and pies to the local people and to
the crews of the ships which docked at the port in local areas. Arnott’s likes to innovate the
food products and it is the industry leader in Australia and in New Zealand. Arnott’snew
product is Tim Tam Chill Me biscuit. This biscuit is unique in nature as this biscuit range
features innovative packaging which changes the colour once the product is exposed to
temperature level below 8 degree Celsius (Arnotts.com.au 2018). Arnott’s Tim Tam Chill Me
range is a partnership product with gelato brand Gelato Messina. Gelato Messina has been
pioneering gelato movement in Australia since the year 2002 and it uses some Messina’s
most popular flavours and Tim Tam is now gelato inspired biscuit for the pleasure of the
people. Tim Tam Chill Me is an emerging confectionary product as it has made partnership
biscuit cookies with gelato.
In Australia, biscuit and confectionery industry has been struggling for last five years
and several factors are responsible for the reason behind reduced revenue in biscuit and
confectionery industry, changing customers' dietary habit, volatile input prices and increasing
external competition. In the last five years, industry revenue has fallen almost 3% and this is
expected to drop further 3% in a current year (Ibisworld.com.au 2018). Current revenue of
biscuit and confectionery industry is AUD 800 million and in Australia, more than 51
businesses are related to biscuits and confectionary. Arnott’s has partnered with Gelato
Messina to produce something new which can attract the customers and shine as emerging
food product as well.

3FOOD MARKETING
2. Identification and profiling of key market segments and consumer decision-making
process
2.1 Market segmentation and Target market
Market segmentation profiling
Market
segmentation
Description Major
consumer
needs
Usage level Brand loyalty Price
sensitivity
Geographic
segmentation
Arnott’s can
segregate the
market based
on the people
who live in
urban area or
rural area.
However, the
major buyers
in this
segment tend
to live in cities
mainly,
Sydney,
Melbourne
and Adelaide.
The people
need great
taste
They consume
confectionery
products and
biscuits
several times a
week
Arnott’s is a
famous brand
in Australia
Price is
significant
factor for the
people living
in cities as
price deal is
important
Demographic
segmentation
Younger
people would
like the
Consumers
will like the
cold biscuits
Younger
people
consume the
This young
generation has
a high level of
Different price
deal is
important for