Marketing Plan for Garden Life Bread: Hong Kong Market Analysis

This marketing plan analyzes Garden Life Bread's position in the Hong Kong market. It includes an executive summary, introduction, and an overview of Garden Life Bread, followed by a detailed situation analysis using 5C's and SWOT analysis. The report critically appraises the company's segmentation, targeting, and positioning strategies, and examines its product life cycle stages. It evaluates the effectiveness of the marketing mix and provides strategic recommendations using the Ansoff Matrix, including market development and product development strategies. The report aims to provide insights for future growth and development of Garden Life Bread in the competitive Hong Kong market, offering a comprehensive review of its marketing strategies and market position. The report also includes a table of contents, figures, and references to support the analysis and recommendations.

Running head: MARKETING PLAN
garden Life Bread
A Marketing Plan
6/11/2019

MARKETING PLAN 1
1. Executive Summary
The intent of this report is to present the marketing plan for Garden Life Bread in the Hong
Kong market. The report is comprised of a detailed marketing plan of the product such as
external and internal market analysis, segmentation, targeting and positioning strategies of
the company, and marketing strategies. From the analysis, it has been identified that the
company is successfully operating its business in the Hong Kong market with increasing
marketing share. The company has gained a leading position due to its flagship life bread and
aggressive marketing efforts. Presently, Life bread is at the growth stage, but soon it can
reach to the decline stage with the entering of new players in the market. Hence, to ignore
this, the report has recommended a company to adopt market development and product
development strategies of the Ansoff Matrix such that it can increase its sales as well as
market share.

MARKETING PLAN 2
Table of Contents
1. Executive Summary...............................................................................................................1
2. Introduction............................................................................................................................3
3. Overview of Garden life Bread..........................................................................................4
4. Situation Analysis..............................................................................................................4
4.1. 5C’s Analysis..............................................................................................................4
4.2. SWOT Analysis..........................................................................................................8
5. Segmentation, Targeting and Positioning Strategies of Garden Life Bread......................9
5.1. Market Segmentation..................................................................................................9
5.2. Targeting...................................................................................................................11
5.3. Positioning.................................................................................................................11
6. Product Life Cycle...........................................................................................................13
6.1. Introduction Stage.....................................................................................................13
6.2. Growth Stage.............................................................................................................13
6.3. Maturity Stage...........................................................................................................14
6.4. Decline State.............................................................................................................14
7. Marketing Strategies........................................................................................................14
7.1. Marketing mix...........................................................................................................14
8. Recommendations................................................................................................................17
8.1. Ansoff Matrix................................................................................................................17
8.1.1. Market Development..............................................................................................17
8.1.2. Product Development.............................................................................................17
8.1.3. Diversification........................................................................................................18
8.1.4. Market Penetration.................................................................................................18
9. Conclusion............................................................................................................................18
10. References..........................................................................................................................20
11. Appendix............................................................................................................................24
Figure 1: 5C's Analysis............................................................................................................24
Figure 2: SWOT Analysis........................................................................................................24
Figure 3: STP Analysis............................................................................................................25
Figure 4: Product Life Cycle....................................................................................................25
Figure 5: Marketing Mix..........................................................................................................26

MARKETING PLAN 3
Figure 6: Ansoff Matrix...........................................................................................................26

MARKETING PLAN 4
2. Introduction
A Marketing plan is a type of operational document of business for outreach and advertising
for generating leads and reaches the target audience. Marketing plan supports businesses in
developing the services and products that fulfill the requirement of the target market. Good
marketing assists consumers in understand the reason why the company's product is superior
in comparison to other competitor products (Burns, Bush and Sinha, 2014). An effective
marketing plan can provide support to the business in reaching to the ideal target market,
increasing the base of the customer, and eventually increasing the bottom line. It is mostly
required while seeking funding for the business and helps in setting the measurable, realistic
as well as clear objectives for the business. For developing a marketing plan it is very
important to conduct research, strong commitment, and time because it is one of the most
valuable procedures which contribute to the success of the business. Besides this, without any
customer, a business cannot survive in the market (Drummond, Ensor and Ashford, 2010). In
order to attract and retain the customers, the business has to understand the importance and
value of the market. People do not take interest in the business if they do not have knowledge
regarding the services of the business; hence, it is important for the business to have effective
marketing strategies into its marketing plan such that it can attract a maximum number of
customers to target (Westwood, 2013). The intent of this paper is to present the marketing
plan for Garden Life Bread in order to analyze its position in the market and plan strategies
for the future development of the business. The report is comprised of a detailed situation
analysis of the Garden Life Bread to comprehend its internal and external environment. In
addition to this, the report is also discussing regarding its target market, segmentation and
positioning strategies and the effectiveness of the marketing mix that businesses use to target

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the market. From the analysis, the report is providing recommendations for the Garden Life
Bread Company such that it can succeed and grow in the future.
3. Overview of Garden life Bread
The Garden Company Ltd. is the leading baked goods and packaged bread supplier of Hong
Kong, who is known in the market for supplying in the restaurant, catering, and retail market.
The product range of Garden is comprised of biscuits, pastries, ready-to-eat packaged bread,
hamburger, cakes, rolls, cookies, candy, and snacks. During the mid-2000s, the company
started producing a new line of health food, comprising calcium-enriched products and bread.
Garden is also involved in the production of frozen and partly baked products along with
frozen dough products (Garden, 2019). The company operates its business from the factory
with 70000 square meter size in Sham Tseng, Hong Kong, which is comprised of around
eight automated production line of the biscuit, three production lines of cake and four
production lines of continuous baking bread. The bread brands of the company comprised the
flagship life bread, Sweet hone brand, Better Sandwich snack bread, and other specialty
bread, like pita bread, sweet round rolls, and the Satellite bun. Garden Company is the top
producer of the packaged cake of Hong Kong, majorly advertised under the brand Garden
brand, and the Be Be cake mix line (Industrial History of Hong Kong Group, 2015).
4. Situation Analysis
Situation analysis is the collection of the techniques and tools used by the managers to
evaluate the external and internal environment of the business for understanding the
capabilities, customers, and environment of the business. The situation analysis is comprised
of 5C’s analysis, Porter Five Force analysis, and SWOT analysis.

MARKETING PLAN 6
4.1. 5C’s Analysis
4.1.1. Company
The Garden is the leading organization of Hong Kong which deals in offering different types
of healthy bakery products and bread. One of the well-known products of Garden Company
is Garden Life Bread. The Garden Life Bread product of the company is comprised of
ingredients like Vitamin B1, B2, B3, Folic acid, Iron, and Calcium. Folic Acid helps in the
formation of the red blood cells and contributes to the fetus growth. Calcium helps in making
strong bones and teeth also help in enhancing the density of bones (Park n Shop, 2019).
4.1.2. Customer
The key target market of the Garden Life Bread is the general public, for all the age group
whether it is a 2-year-old kid or a 99 years old person. Every individual can have the products
of the company. Besides this, the company also aim its marketing strategies to the health
conscious people and office ladies of the middle class (Bloomberg, 2019). In the coming
years, the company is planning to add more products in its product portfolio such as drinks
and snacks which will help the company in increasing its market share.
4.1.3. Competitors
In the Hong Kong market, Garden Life Bread deals with intense competition from the two
key players in the fresh bread and frozen food industry. In the frozen bread segment, the key
competitors of the company are Maxims, Sara Lee, Cadbury Food Company Ltd, Kotakichi
Company Ltd, and Trebor Wuxi Confectionery Company Ltd. In addition to this, Garden Life
Bread is experiencing competition from small size businesses, specifically from the western
trend restaurants that are known in the market for baking every day for its afternoon tea
consumers.

MARKETING PLAN 7
Sara Lee Corporation is one of the competitor of Garden Company and also the company of
global consumer products with the household, food, body care, and beverage products. With
the range of products like Ball Park, Jimmy Dean, Ambi Pur, Senseo, Hillshire Farm, and
Douwe Egberts, the company has successfully reached to the top position in diverse sorts of
products in over 180 markets where it competes (Sara Lee, 2019).
4.1.4. Collaborators
Garden Company is generally known in the market for purchasing all its ingredients of
baking they do not collaborate with any of the suppliers. The company is itself involved in
the purchasing of the ingredients and other raw material. But, for the delivery activities, the
company has outsourced through Logistics Company. These logistics companies are
responsible for delivering fresh bread daily to different retail outlets in the morning. In fact,
they have to deliver the fresh buns to all the franchisees of McDonald’s. In addition to this,
they also deliver a variety of fancy bread to caterers of airline, restaurants, and hotels. At the
international level, the Garden Life Bread outsources the transportation companies and the
freight forwarders for some special orders like birthday cakes and wedding. Internally, the
company outsources IT, food testing, accounting, sales, finance, marketing, etc.
4.1.5. Context
4.1.5.1. PEST Analysis
4.1.5.1.1. Political Force
Hong Kong has a political system that is dominated by the Basic Law of Hong Kong, the
Special Administrative Region, quasi-constitutional document, Chie Executive, multi-party
system, and its own legislature (Invest HK, 2019). The government exercises the Executive
power. In the year 1997, the sovereignty of Hong Kong transferred to China. Due to this
Hong Kong converted as the special administrative region. The government of Hong Kong is

MARKETING PLAN 8
collaborative which offer a number of business opportunities to the local businesses for the
future development of the region (Hong Kong Economy Research, 2018a).
4.1.5.1.2. Economic Force
As discussed above, Hong Kong is considered as the Special Administrative. The sustained
and dominant drivers of the growth of the economy comprise logistics, financial services,
private consumption, tourism, and estate development. Hong Kong is being considered as one
of the most ideal platform for operating business in the Asian region, particularly mainland
China (Santander, 2019). Hong Kong is said to be a free port that is free or do not charge any
type of customs duties and also has limited excise duties. The strong rules and respect for the
property rights of Hong Kong represent it as the strategic platform for United States
businesses, particularly SME enterprises that are planning to do business in the Asian region
(Export. Gov, 2019). The businesses that operate in the Hong Kong region enjoy close tie-ups
and relations with mainland China and with entire Asia. In addition to this, tourism in Hong
Kong is also increasing which is resulting in increasing revenue of the government as well as
businesses. The growing business of the country will offer increased growth opportunities of
Garden in the coming three years.
4.1.5.1.3. Social Force
Hong Kong makes use of traditional complex Chinese character, whereas Singapore and
mainland China have accepted simplified characters. Hong Kong feels proud to be called as
the gateway to China and also the place where East meets West. The country is considered as
the modern city and very proud of its subway system and state of the art airport. It owns its
one currency, legal systems, economic system, and style of life (AVPN Asia, 2019). The
cultural environment of Hong Kong is majorly influenced by the educational, religious,

MARKETING PLAN 9
social, and family system in the system. Businesses that are involved in marketing their
products in this market are very sensitive to foreign cultures.
4.1.5.1.4. Technological Force
Hong Kong is ranked at the leading position in terms of infrastructure in the Global
Innovation Index out of the 126 economies in 2018. The government heavily is investing in
the development of necessary infrastructure for the setup of Innovation and Technology fund.
Further, Hong Kong is considered as the leading center for business in the region of Asia
Pacific is obliged much to its innovative infrastructure of telecommunication. The
telecommunication role is very vital to the competitiveness of Hong Kong in the electronic
commerce age (Hong Kong Economy Research, 2018b).
4.2. SWOT Analysis
4.2.1. Strength
Garden Life Bread has gained the flagship of the Garden Company Limited consider as a
strong brand. The strength of the product is high quality, a strong network of distribution,
strong international presence, competitive pricing, loyal customer base, effective marketing
communication, etc. Apart from all these strengths, the product is very famous in the entire
region of Hong Kong due to its quality and healthy ingredients. It is generally believed that
almost all the households consume Garden Life Bread of the Garden Company on a regular
basis (Bloomberg, 2019).
4.2.2. Weaknesses
As the Garden Company Limited offers a different range of products coupled with a
considerable network of global retail, negative communication is obvious. In addition to this,
the brand deals with diseconomies to scale, weak corporate practices and sometimes over-

MARKETING PLAN 10
leveraged financial position (Bloomberg, 2019). This has a major impact on different
products of the company including Garden Life Bread.
4.2.3. Opportunities
Garden generally enjoys a healthy financial position. The company has been involved in a
different type of takeovers, merger, and acquisitions on a small scale. It has also tie-ups with
international events in order to gain growth opportunities in its operations (Bloomberg,
2019). The company is involved in searching for new opportunities, expanding the business
over the online platform. With the changing trend and emerging middle class, the company is
regularly altering its products to expand the base of the customer, and including new product
range such as snacks and drink and service like mail order. In regards to the Garden Life
Bread, the company is presently involving health ingredients such as vitamins and calcium in
the production procedure. But, considering the increasing awareness of the customers
regarding health and demand for natural products, the company can make use of natural as
well as organic ingredients in the production procedure of bread. Some of the organic
products that could be used by the company are Almond Apricot, banana nut, grain, etc.
(Sunrise Bread, 2019)
4.2.4. Threats
Besides having a huge share in the bakery industry of Hong Kong, Company experiences
intense competition in the high-end sector from different strong players. As Hong Kong
returning its sovereignty to Mainland China, Garden Company is dealing with strong
competitors from the Mainland (Bloomberg, 2019). Because a number of players are taking
entry in the Hong Kong market from the Mainland. Considering its foreign business, the rate
of foreign is impacting its strategies of import and export.

MARKETING PLAN 11
5. Segmentation, Targeting and Positioning Strategies of Garden Life Bread
5.1. Market Segmentation
Segmentation is the procedure adopted by the business to divide the market into different
parts that are properly definable, profitable, and actionable and possess growth potential. In
simple words, it becomes very tough for a business to target the entire market due to cost and
time (Menzly and Ozbas, 2010). Hence, it is very important to have a definable target market
such that the target audience could be easily targeted and identified with reasonable time and
cost. Segmentation can be done on the basis of four criteria such as Demographic,
Geographic, Psychographic, and Behavioural segmentation.
Demographic Segmentation – This is said to be one of the most common segmentation
criteria under which businesses divide the market based on variables like age, gender,
income, etc.
Garden Life Bread makes use of demographic segmentation in order to segment the market
based on income and age variables. Under the income variable, the company is majorly
focused on offering products at a reasonable cost and targeting an increasing middle-class
segment in Hong Kong. In addition to this, the Garden Life Bread is offering healthy and
nutritious bread for the customers which could be used by any individual from the age of 2
years to 99 years.
Geographic segmentation – Under this businesses segment the market based on the
geography of people. Garden life Bread is offered an entire market of Hong Kong due to its
healthy nature (Wedel and Kamakura, 2012).
Psychographic Segmentation – This segmentation majorly focuses on the people lifestyle,
opinions, and interest (Perreault, Cannon and McCarthy, 2011). Garden life Bread is majorly