Introduction
Sigmund’s Gourmet Pasta is developing a popular consumer brand and expanding its customer base. The restaurant has created a signature line characterized by innovative pasta dishes, such as fresh mussels and clams in a marinara sauce and pesto with smoked salmon. It also serves distinctive salads, desserts, drinks. Sigmund’s Gourmet Past has implemented a unique marketing plan that assures customers of satisfying and thrilling experiences and sells high-quality innovative products at an affordable price. It is conveniently located, designs tasteful foods, and provides industry-benchmark customer services (“Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans”, n.d.).
The success of the restaurant’s marketing strategies can be credited to the possession of adequate information regarding the market and understanding the most prized and loyal customers. Sigmund’s Gourmet Pasta leverages customer information to get informed regarding specific consumer needs and how it can better communicate with its customers. As a potential investor, I would invest in the restaurant based on the marketing strategies it has employed.
The marketing strategies the restaurant has implemented are attractive to potential investors. The business has a clear picture of market needs and advertises its products based on these needs (Kotler & Keller, 2012). It has developed strong relationships with vendors and customers; its retailers offer high-quality ingredients and fast delivery of products to customers. The restaurant’s marketing strategies can be credited for increased customer loyalty among repeat customers (“Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans”, n.d.).
The business has a limited advertising budget; however, it has employed a simple advertising program. For example, its marketing plans involve direct mail, banner ads, and inserts. It also plans to leverage personal relationships to include articles of Sigmund’s in The Register-Guard, which will eventually increase sales. Hence, as a potential investor, the restaurant presents promising business opportunities for capital investment.
Sigmund’s Gourmet Pasta marketing goal is to use market information to better understand its target customers, their specific needs, and the most effective methods of communicating with the consumers. The restaurant’s contingency plan outlines potential difficulties and risks: problems generating visibility, the challenge of entering an existing market, and overly aggressive and debilitating actions by rivals. The business also faces the risks of whether it can support itself continuously and if it can liquidate equipment and intellectual property to cover all its liabilities (“Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans”, n.d.). The identification of the difficulties and risks indicates that the restaurant and its owners have assessed potential problems that may limit its capacity to meet customer needs and make profits.
The restaurant has employed marketing strategies, tactical planning, and marketing model aimed at minimizing potential risks, addressing existing challenges, and meeting consumer needs. The fundamental market need is to provide customers with fresh, attractive, desserts, salad, pasta dishes, and beverages. Since it gathers adequate information about the market, the restaurant understands the market needs making it easier to anticipate and address potential risks (“Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans”, n.d.).
The business’s tactical planning increases its capacity to support itself on an ongoing basis and ensures the availability of equipment and intellectual property to cover liabilities. The restaurant’s contingency plan is based on its business model, tactical planning, and marketing strategies. These practices are aimed at minimizing anticipated risks and difficulties and highlights the owners’ capacity to plan and employ an effective contingency plan.
Pros and Cons of Sigmund’s Gourmet Pasta Restaurant Marketing Plan
Pros
Sigmund’s Gourmet Pasta restaurant operates under a limited budget; however, it has been able to create a simple, but effective advertising program. The program will use simple means of communication, such as direct mail, banner ads, and inserts. The techniques are cheap but reach a larger customer base. The company will also leverage its relationships to publish articles of Sigmund’s in the Register-Guard that expected to reach more customers and increase sales. The marketing plan is characterized by clear marketing and financial objectives. For example, it aims to maintain positive and steady growth every month as well as generate at least $40,000 in sales on monthly basis (“Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans”, n.d.).
The marketing plan will create an attractive experience to entice new customers and promote loyalty. In regards to financial objectives, the marketing plan defines its target of double-digit growth rate each year and reduce overhead and variable costs mainly associated with food production. Hence, Sigmund’s Gourmet Pasta Restaurant marketing plan has many pros that identify it as an effective business strategy for attracting new customers and maintaining the existing ones.
Cons
Marketing plans can be helpful in the success of the entire business, but can also have some demerits. For example, it will be difficult to generate momentum for Sigmund’s marketing plan; it consists of ingenious and original ideas as well as a capable team to execute, but cannot guarantee its success. Sigmund’s marketing plan consists of a wide range of data, such as customer demographics; if the data is not analyzed well it may lead to deceptive marketing decisions (“Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans”, n.d.).
A well evaluated and controlled marketing plan involves effective data analysis to help identify and realize the specific needs of prospective customers. It also assists the business meet its needs. Sigmund’s Gourmet Pasta Restaurant marketing plan is also subject to financial constraints. As noted earlier, the restaurant will be operating under limited financial resources meaning that some practices may be eliminated due to financial control. Implementing an effective and successful marketing plan takes a lot of time, effort, and monetary resources. Small businesses lack sufficient resources and financial incentives to support marketing strategies that can attract more customers. Hence, Sigmund’s Gourmet Pasta restaurant needs to address these challenges to ensure its marketing plans meet target goals.
Sigmund’s Gourmet Pasta restaurant will adopt a marketing plan that will potentially increase the number of customers and maintain existing ones. The restaurant plans to build a popular consumer brand and expand its customer base. It has created an innovative marketing plan that follows a simple program due to its limited budget. As a potential investor, I would devote my capital to the restaurant based on its marketing plan that has the potential to grow profit margins in the future.
This marketing plan is characterized by multiple advantages and disadvantages to the hotel; for example, it is simple meaning that it will align with the restaurant’s limited budget. The business will also leverage personal relationships to publish articles in the Register-Guard to increase sales. On the other hand, its limited financial capacity will hinder the effective implementation of marketing planning. Overall, Sigmund can implement its marketing plan to grow customer based and increase profit margins.
References
Kotler, P., & Keller, K. L. (2012). Marketing management. (14th ed). Prentice-Hall.
Pasta Restaurant Sample Marketing Plan – Executive Summary – Mplans. (n.d.). Mplans. Web.