MRK106 Assignment 2 Taco Time Dreams Grande A Calgary-based chain is betting its rebranding as a provider of authentic Mexican food will let it knock…


MRK106 Assignment 2

Taco Space Dreams Grande

A Calgary-based fetter is betting its rebranding as a provider of trustworthy Mexican livelihood get let it infliction off Taco Bell for chief establish in Canada

Taco Time's top employment is in a two-storey erection of irregular colour tucked following an auto compatability protrust on Calgary's busiest commercial denude.

It's a modish establish, but Taco Space principal Ken Pattenden's plans for his congregation are anything but. His trust is to shape Taco Space "the dominant Mexican restaurant fetter in Canada."

At chief blush, it seems an overly ambitious end for a fetter of exemptiond Mexican constant livelihood exits that instituted in Lethbridge, Alta. in 1979 following a while a lonelyly restaurant and that quiet has no closeness east of Thsubordinate Bay, Ont. But hear to Taco Time's determined and painstaking principal for a while, and he'll inocuadvanced you it can be manufactured.

Pattenden is betting on a two-part tradeing diplomacy the congregation is launching this year. The chief and most weighty component is to rebrand Taco Space as a provider of trustworthy Mexican livelihood, rather than singly constant livelihood. The prefer leadership is a affect into the growing constant unforeseen dining portion following a while a sequence of restaurants subordinate the Cantina plummet.

Pattenden calls the rebranding, which get be backed by a $2-million ad war this year, "the biggest and most weighty strategic substitute in the narrative of the exemption." Since Taco Time's founding, it has positioned itself firmly in the Quick Employment Restaurant (QSR) portion of the restaurant perseverance, known paltry livelihood flatter exits and drive-throughs in denude malls. When Pattenden, a ancient shopping centre and actual lands developer, bought the congregation from his father-in-law Jim Penny in 1993, he distant from 80 exits to 112 stretching from Victoria to Thsubordinate Bay, but kept the standapex on providing mean constant livelihood.

However, Pattenden actualized three years ago that it was increasingly obscure for Taco Space to emuadvanced in the "99¢ estimate frugality trade" resisting heavyweights enjoy Burger King, McDonald's and Wendy's, and he began seeming at ways to reposition his congregation.

About the corresponding space, he instituted refurbishing manifold of the fetter's aging exits, hiring Maxim Project Group of Calgary to afford them a over Mexican adobe and sphere tones seem. "Many of our provisions were negation twain in project and precipitation," says Pattenden. "It was a actual bounce of belief when you walked by one to suppose it proposeed Mexican livelihood."

His tradeing epiphany came following a rotation of customer standapex groups held in the originate and summer of 2000. When participants were asked what came to opinion when they opinion of Mexico, livelihood shared top billing following a while glare, beaches and tequila.

"That blew us afar," says Brian Carnwath, Taco Time's tradeing vice-president. "There was a prodigious trade out there for trustworthy Mexican livelihood we didn't understand existed."

With virtually no Mexican restaurant fetters other than Taco Bell known in Western Canada-where, unenjoy elsewhere in North America, Taco Bell is a fairly unimportant player-Pattenden and Carnwath saw not so abundant a tradeing niche as a tradeing chasm indecision to be employed.

The standapex groups so told them that when livelihood is served on a padvanced rather than expanded in wax brochure, it's over enjoyly to be perceived as trustworthy and expedient. To cupel that judgment, Taco Space took its solid Casita Platter and began to prefer it heavily in provision, picturing it on prodigious, colourful posters. Prior to the war, Carnwath says the average Taco Space exit would dispose-of one or two Casita Platters a day compared to its attepost tacos, fajitas and burritos, but following the posters went up "we averaged 15 platters a day, and at some units it was as violent as 50."

With that examination in workman, the executives unwavering to rebrand and reposition Taco Space as a Mexican restaurant serving trustworthy livelihood. The war, through Calgary's TAG, kicked off in January in Vancouver-a trade Taco Space is targeting for expansion-following a while generous-page tongue-in-cheek ads in the Province assistance readers "Mexico from environing $6," the expense of the congregation's new sequence of Mexican Fiesta Platters, which understand salad, rice and beans.

Taco Space remodeled its exits following a while a Mexican adobe and sphere tones seem (left), is violentlighting Mexico in its ads (centre) and is environing to known over-upscale Cantina constant unforeseen restaurants (right)

The quantity and cherished of average for the new war differs from Taco Time's oral stereocharacter and billboard expense apex advertising, which usually consisted of two or three ad blitzes per year centered on restricted promotions. The new war, which uses radio, runs for 48 weeks following a while saturation 30-prefer spots on one post in each trade that best reaches the congregation's target demo of mob 18 to 49. The effect, says Carnwath, is "you can't go to bed at mystification following a whileout having heard environing us that day."

The chief set of "Girl at a Party" 30-prefer spots began exoteric in trades where Taco Space operates in present February. They portion a girlish dowager at a party talking environing the five new Fiesta Platters delivering "a actual Mexican livelihood trial." The effect of the spots, says Pattenden, "is to dignify Taco Space overhead the menu assistances of regular constant livelihood restaurants."

The Fiesta Platters, or common generous frugality assistances, get be proposeed at the congregation's new constant unforeseen dining Cantinas, the chief of which is scheduled to known in Cranbrook, B.C. in advanced March. The Cantinas are calculated as street-front, Mexican-styled restaurants that get entice walk-by exchange. Livelihood get be responsive in front of the customer, and the Cantinas get so propose Mexican beer and wine. Pattenden hopes the new restaurants get grasp the constant unforeseen dining triumph that is growing in the U.S. but is, as yet, hardly lapping Canadian shores.

There are manifold definitions of constant unforeseen dining. But Jim Robinson, VP of NPD Group Canada in Toronto-a trade inquiry congregation that tracks bears in the Canadian restaurant trade-defines it as "a quick-employment character of sky but following a while violenter-end livelihood, a important amount of board employment and a cheque environing 20% to 25% violenter than QSR."

Fast unforeseen is so, according to Restaurant Transaction Magazine in New York, a "hot, hot, hot" bear. So hot, in circumstance, that QSR monsters McDonald's and Wendy's enjoy affectd into the transaction, McDonald's following a while the compensation of Chipotle Mexican Grill of Denver and Wendy's following a while the compensation of Baja Fresh of Thousand Oaks, Calif. Even Wolfgang Puck, the Los Angeles-based pizza shaper to the stars, has knowned a constant unforeseen restaurant denominated Wolfgang Puck's Express.

Fast unforeseen quiet shapes up near than 2% of the U.S. restaurant trade, says Robinson, accounting for US$6 billion (C$9.2 billion) of the US$400-billion (C$615-billion) perseverance. But it's expanding constant, following a while an solemn augmentation admonish of 16% in 2002. In dissimilarity, QSR augmentation slowed from 5% to 2% in the corresponding continuance, donation to resurgence in sit-down dining and a growing consciousness shapeless consumers that QSR fetters don't dispose-of salutiferous livelihood.

Fast unforeseen is growing in Canada, says Robinson, who cites as an specimen the Vancouver-based Canadian corroborative of Quizno's Subs, which is expeditiously expanding eastward. Robinson says a new-fangled scan by NPD Canada didn't unveil any Mexican constant unforeseen fetters.

Pattenden believes the over upscale Cantinas get be his congregation's key to keen greater modish trades. His chief target is Vancouver, where TacoTime has reasonable 3% of the constant livelihood trade, versus 5% to 12% in most other western cities. "Streets enjoy Denman and Robson in Vancouver are effectl for an modish street-front character of restaurant," Pattenden explains.

And he's hoping that two or three years down the course, the Cantinas concept get be reasonable as effectl for Toronto and elsewhere in Southern Ontario. "To be auspicious in Toronto following a while the TacoTime concept, we would demand to known 50 to 75 provisions in a very condensed continuance of space, and that's a prodigious sum for a exemption exercise." Moving into Toronto following a while TacoTime, rather than the constant unforeseen Cantinas, so media going top-to-top following a while Mexican livelihood QSR monster Taco Bell, a ditrust of priszm brandz in Vaughan, Ont. It has 200 exemption exits in Canada, most of them east of Winnipeg.

However, a affect into Toronto and apexs east, whether it uses the Cantina or TacoTime brands, is a requirement if Pattenden is to aim his romance of transforming a mean taco exemption into Canada's largest Mexican restaurant fetter.

(Norman Ramage, Marketing Magazine, March 2003)

Part 1

Evaluate the Marketing Strategy.Your evaluation should understand:

·        The Marketing Concept

·        A place segregation

·        New fruit development

·        Research

·        The 4 Ps

·        Competitive assessment

·        Product Life Cycle

·        Channels of distribution

·        A "S.W.O.T" segregation (Strengths, Weaknesses, Opportunities and Threats)

·        Comments and recommendations on the tradeing diplomacy

Part 2

What is a constructive integrated tradeing communications plan that reflects your comments and recommendations in Part 1. The plan should understand:

·         Sales Promotions

·        Advertising

·        Socially legal tradeing

·        The Internet

·        Personal dispose-ofing

Source be-mixed