Its main strategy is to attract customers by setting relatively low prices , so most of its branches are near public housing estates . The target customers of cheese pizza are just ordinary people , whose affordability is similar to students. Though it focuses mainly on take out services , it lowers the dine in costs to 40% of its take out one. The operation of cheese pizza stores is simple and easy, there are detailed guidance for food-making procedures and the ingredients required, the only thing the staff need to do is to follow the instructions.
After calculation , they think that it is more economical and safe to put sources on cooking utensils rather than on labors , so a pizza oven is equipped in each branch. It is easy to use the oven- theres the raw pizza with toppings on left hand side, after 6 minutes, a well-cooked pizza will be ready on the right hand side. As a result, much costs are saved. Besides the pricing strategy mentioned above, cheese pizza also adapts other marketing mix strategies. For example, product strategy.
It expands different types of tastes and toppings from onion, pepper, pepperoni, ham, mushroom only to pineapple, beef, pork, chicken, bacon, tomato ,egg, jalapano and peach inclusive. It also has frequent product modification on the pizza quality. Second, distribution strategy. It has expanded the number of dealers- opening more and more branches. At the beginning , there are only several stores of cheese pizza, but now there are branches in Fanling, Tuen Mun, Yuen Long, Tin Shui Wai, Tai po , Shatin, Kwai Fong, Hung Hom, Tsuen Wan and Tung Chung etc.
Cheese pizza also tries its best to establish long-term relationships with wholesalers and retailers. Lastly, promotion strategy. Cheese pizza is trying its best to stimulate selective demand. For instance , it softens the hardness of fried chicken by adding more oil . Up till now, cheese pizza has set up 16 branches, and is expanding rapidly with a speed of 2 new branches in a month. Such an achievement implies the high standard of the cheese pizza made.
In fact, every piece of cheese pizza and its quality are strictly monitored , so as to make sure the pizza is solely cooked with high quality of raw materials. For example, the weight and size of a fired chicken is under strict control, as it will be over-fired if it is too small, and it will not be tasty if it is too large. They make sure every raw material used is of the highest quality , and they will not fry any chicken until an order is made. In the process of making the pizza, cheese pizza is the only one pizza restaurant that uses olive oil.
The cost of using olive oil is high, but the pizza made from it smells good and will not be too oily, most of all , people will not get food stagnation after eating . Conclusion: In this project, we have been working intensively into Cheese Pizza and trying to find out ways that the company can increase its market shares. We have identified the companys strengths and weakness. We have also showed the current positioning of Cheese Pizza and its competitors. Cheese Pizzas current segmentation strategy as well as its importance were also analyzed.
Finally, based on all the analysis, we recommended a new product for Cheese Pizza. It is hoped that Cheese Pizza will continue to take its advantage and make improvements from time to time, so as to increase more and more branches and to increase its market shares.
References: http://blog. yahoo. com/_VI2LRCBUJLT5L6PNJKMLDAAW6Y/articles/29299 http://www. openrice. com/restaurant/reviews. htm? shopid=38341&tc=sr1list&page=2 http://www. cheesepizza. hk/index. html.