1+Executive+Summary


 * Executive Summary**

In order to meet the company’s goal which is cutting the Ice Cap prices from the regular prices: Large $3.09 Medium $2.49 Small $1.89 to the new cost effective prices: Large $2.49 Medium $1.99 Small $1.79 with the lowering of production costs from 97 cents to 65 cents, and the expected volume increase based on our market research of 1.778, our profits are now expected to increase by 54.2%. Having decreased the production cost as well as the preparation time, this goal puts a strong value on the customer, as it gives them a break on how much they will spend on a treat for them self. Aside from the customer satisfaction, the gain in revenue of 54.2% is astronomical, in fact the profit has more than doubled then it was before.

We suggest that the company should focus on promotion as well as dropping the price. The strategy that we will be strongly focusing on is the value of our customers at Tim Horton’s and that they deserve to have an affordable flavoured drink. The regular advertising for this chilled summer drink will be heavily incorporated with the focus on how the drink is supposed to refresh the customers on a hot summer day in a much more affordable fashion.

We are also going to make the production speed of the product shorten by 70 seconds. This will ensure fast arrival of the product for the customers and eliminates the long wait of the previous process.

This marketing strategy is going to encourage success with in this company because Tim Horton’s is known to be a franchise for having very cheap products. It is a very affordable coffee shop in which customers from all income brackets can enjoy. Allowing the ice cap’s price to decrease, allows the franchise to continue its reputation of having affordable treats that everyone can enjoy. This marketing strategy Is going to greatly benefit the company and should be taken and valued by everyone for the benefit of the people and the company.