Benefit Analysis
Type of utility |
Feature analysis |
Benefit analysis |
Form |
N.A. |
N.A. |
Function |
Food |
N.A. |
Utility |
N.A. |
N.A. |
Scent |
Chocolate, mint, nut |
Satisfies your sweet tooth, makes your breath fresh |
Flavor |
Sweet |
N.A. |
Color |
Brown, white, pink |
Appealing colors |
Design |
No set design features, because it is homemade and form of product is always unique |
We don’t have to buy any molds |
Packaging |
Transparent plastic bags, closed with stripe, Logo attached with a sticky paper |
Customers can clearly see our product, cost effective, protection from damaging |
Information |
Ingredients and price printout located on display |
Consumers are informed of ingredients to prevent any allergic reaction |
Place |
Lobby |
Highly visible |
Time |
January the 9th 1:30-3:00pm |
School time, so lots of students will be available |
Possession |
N.A. |
N.A. |
Logo:
Slogan: “Happiness Has a Flavor”
(the
product before packaging)
Our product is packed into plastic transparent wrap. It protects our products from germs and dust. It also has the company logo on it.
The first thing that we want our consumers to think about is happiness. Due to the fact that chocolate is homemade, it would remind Bronte students about their own homes, that they tend to miss a lot any time of the school year, it can also bring up the childhood memories. Mood of Christmas is also considered top of mind word that associates with our merchandise, because you can buy our sweets and give it to someone else as a present. All together it can be connected in one term – winter. At this time people spend their time, home, with family, giving each other happiness and presents. A golden stripe represents status and richness, what prepares consumers to pay more money for Aliter’s merchandise. If we sell Toffee and Pink Snow Candy 200% more expensive than its production cost, then we should advertise it as high class merchandise.
Pricing
There were 4 gallons of Pink Snow Candy. Production cost for all together is $28. 28/4=$7.00 per gallon. Each gallon contains ten separate products. What means that one Pink Snow Candy production cost is 7/10=$0.70.
There were 5 gallons of Toffee. Production cost of all gallons is $36. 36/5=$7.20 Each gallon contains 10 separate products. Price of one Toffee is $0.72.
Other expenses including tax: $13.42 UPS store (print advertisement), $12.38 for sticky notes from Staples, $4.00 for napkins, $10 for packaging from Dolorama, $10 Bristol Board.
Pricing Factors |
Details |
Break-even point |
28+36+13.42+12.38+4+10+ 10=114.80 |
Economies of scale |
N.A. Because the scale is very small |
Pricing strategies |
2x Combo contains Pink Snow Candy and other 3 dollar item would cost $1 cheaper, 3x combo with each of 3 items is $3 cheaper than we would sell it separately. |
Legal requirements |
Ingredients table |
Competitors |
“The Best Partner”, “The Lucky Shop” |
Price sensitivity |
- |
Positioning |
Strong positioning because there is no direct competition (no one is selling chocolate products specifically) |
Pricing policies |
We have to meet our break-even point |
Pink Snow Candy – PSC -$4; Toffee - $3; Mix - $3; 2x - $6; 3x - $9
Product |
Price |
Total |
2x Combo |
$6 |
6 |
2x Combo |
$6 |
12 |
2x Combo |
$6 |
18 |
1 PSC |
$4 |
22 |
1PSC |
$4 |
26 |
3x Combo |
$9 |
35 |
2x Combo |
$6 |
41 |
1 Toffee |
$3 |
44 |
1 PSC |
$4 |
48 |
2x Combo |
$6 |
54 |
2x Combo |
$6 |
60 |
2x Combo |
$6 |
66 |
1 Mix |
$3 |
69 |
2x Combo |
$6 |
75 |
1 PSC |
$4 |
79 |
2x Combo |
$6 |
85 |
2x Combo |
$6 |
91 |
1 PSC |
$4 |
95 |
2 Mix |
$6 |
101 |
2x Combo |
$6 |
107 |
1 PSC |
$4 |
113 |
2x Combo |
$6 |
119 |
2x Combo |
$6 |
125 |
1 Toffee |
$3 |
128 |
1 Mix |
$3 |
131 |
1 Toffee |
$3 |
134 |
2x Combo |
$6 |
140 |
2x Combo |
$6 |
146 |
2 Toffee |
$6 |
152 |
2 PSC |
$8 |
160 |
1PSC |
$4 |
164 |
1 Mix |
$3 |
167 |
1 PSC |
$4 |
171 |
1 Toffee |
$3 |
174 |
1 Mix |
$3 |
177 |
1 Toffee |
$3 |
180 |
1 Toffee |
$3 |
183 |
1 Mix |
$3 |
186 |
1 Toffee |
$3 |
189 |
1 Mix |
$3 |
192 |
1 PSC |
$4 |
196 |
2 Mix |
$6 |
202 |
1 PSC |
$4 |
206 |
2x Combo |
$6 |
212 |
1 Mix |
$3 |
215 |
1 Mix |
$3 |
218 |
1 Mix |
$3 |
221 |
2 Toffee |
$6 |
227 |
$227- $114.80 = $112.2 (profit), which goes towards “Waves for Water” charity.
