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28-10-2016

Marketing Plan
“Chilowingas”
Wings & Boneless

Teacher: Lic. Estefanía Verdín Mendoza

Guadalupe Quintana Andrade 281838


Luis Alberto Gómez Hernández 281888
René Morales González 281785
Jesús Manuel García Rico 270763
7CV1
Content .............................................................................................................................................................. 1
Executive Summary ........................................................................................................................................... 2
General Information ........................................................................................................................................... 3
Mission............................................................................................................................................................ 3
Vision .............................................................................................................................................................. 3
Background..................................................................................................................................................... 4
Competitive Advantages ................................................................................................................................ 4
Goal ................................................................................................................................................................ 4
Objectives ....................................................................................................................................................... 4
Situation Analysis ............................................................................................................................................... 5
Industry Analysis ............................................................................................................................................ 5
SWOT Analysis .............................................................................................................................................. 7
Competitor Analysis........................................................................................................................................ 8
Segmentation, Targeting and Positioning ........................................................................................................ 10
Segmentation ............................................................................................................................................... 10
Targeting....................................................................................................................................................... 11
Positioning .................................................................................................................................................... 11
Marketing Mix ................................................................................................................................................... 12
Product ......................................................................................................................................................... 12
Price .............................................................................................................................................................. 13
Place ............................................................................................................................................................. 14
Promotion ..................................................................................................................................................... 14
Budget .............................................................................................................................................................. 16
Implementation Plan ........................................................................................................................................ 17
Evaluation Metrics & Control............................................................................................................................ 19
Appendix .......................................................................................................................................................... 20
References ....................................................................................................................................................... 24

1
Chilowingas is a local wings & boneless company with innovative sauces that make this
place unique, aside of the variety of food that it serves, such as seafood, burgers, salads, soups
and desserts. It currently has one store, which is located at Francisco Villa Ave. s/n, Arboledas I
Etapa, Chihuahua, Chih.
This plan has the goal of opening two more Chilowingas franchises in the city and the main
objectives of increasing the revenue and number of customers of the actual store in at least a 10%
and 50% respectively. For it’s location on a main avenue it has a great possibility of growing on a
short period of time, using it’s visibility and nearness to residential areas. The improvement on the
restaurant’s facade, its service, and the way it communicates and lets everybody know about their
perks and unique qualities and products, is vital in the achievement of the goals and objectives
that are described in this marketing plan.
An important number of the potential clients are between the ages of 18-50 years old. Which
is why in this marketing plan, we pretend to develop on social networking as a main focus area to
communicate with our customers. Also, to expand the advertising to the older clientele in our target
range, an investment in radio communication will be made, as the implementation of billboard on
strategic places around the city.
This advertising strategy is also proposed to be at the level of Chilowingas’ competitors,
who are bigger franchises that are well known in Chihuahua. In addition to the media that’s going
to be used, the content in it will be such that Chilowingas competes in every aspect with these
other wings and boneless franchises.
The investment required will include the creation of a radio commercial, a billboard, and the
management of social networks that could be managed by a graphic designer, who will also create
content like photographs and designs for the fan page, billboards and any other content required.
The creation of special events and promos during holidays and top sports events during
the year, is a strategy to attract new clients into our business. All of these event have to be
schedule to have an interior organization, that will be accomplished with the implementation of an
Events Calendar, which will also be another one to schedule social media posting, radio
advertising, billboard instalations, and any other media advertising to also have control of the
actions made, and the results thrown from all those actions.

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-The restaurant is located at Francisco Villa Ave. s/n,
Arboledas I Etapa, Chihuahua, Chih.
-Telephone Number: (614) 205 6851
-Open hours:
Tuesday-Thursday: 14:00-22:00
Friday-Saturday: 14:00-23:00
Sunday: 14:00-20:00

E-mail: gerencia@chilowingas.com
Chilowingas, Google maps images

It is a family company with high expectations of growing, practically new in town but with a
good acceptance rate amongst the population. The restaurant’s specialties are wings and
boneless served in a different way than any other wings and boneless establishments, bathed in
one or many special Mexican sauces, counting with a total of 14 different sauces to choose from.
We also count with seafood specialties, hamburgers, soups and desserts. The restaurant has a
capacity for 28 customers in the inside and 4 on the terrace, aside of counting with home delivery
service.

Mission

To be a wings restaurant with a Mexican concept, giving the highest of the quality service
to our customers, offering them a unique experience as they enjoy our wide diversity of dishes
and sauces, always at accessible prices and with the best promotions.

Vision

To become the number one wings restaurant at a regional level, as well as reaching the
whole state by taking our food and unique sauces to every palate.

3
Background

The idea emerged from a family’s desire to open a restaurant, being a wings place the top
choice by part of the husband and a boneless establishment for the wife. This is how “Las
Chilosas” where born in April, 2013 located at Cordilleras, with an idea of serving boneless wings
taken from Sonora, where these are served in strips, and also with the idea of keeping a Mexican
touch in every flavor of the many different sauces available for any dish. But the worry of reaching
more people kept ringing bells in their heads, which resulted in changing the location to Francisco
Villa Ave. but this time under the name of “Chilowingas”, keeping the same Mexican touch and
boneless strips, and adding an alcohol selling permit to expand their reach in the population.

Competitive Advantages

 It´s located in one of the main streets of the city, Ave. Francisco Villa, which makes it easier
for the customer to get there.
 Combos and choices for everyone. Like individual combos, family combos, student
combos, for big parties, couples combos and even a kids menu.
 Availability of alcoholic drinks that attract young people between ages of 18 and 30 years
old.
 Aside of boneless and wings they count with a large variety of products such burgers,
salads, soups, tacos, ribs, shrimps and a big number of unique sauces like “La Chilosa”,
BBQ, Bufalo, BBQ-Chipotle, Jalapeno cream, Mango habanero, Borracha, Oriental and
anothers to pick from.
 Low prices compared with another wings-selling franchises.

Goal
 Achieve the establishment of two new branches, to better cover the sectors of the city within
6 years.

Objectives
 Increase the number of customers in a 50% from the actual one, within one year.
 Elaborate a better social marketing campaign to increase 30% of the population reach,
within the first semester.

4
 Hire 5 new persons to improve the area of waiters and kitchen to give a customer service
with more quality, within the first month.
 Increase the utility in a 10% within the 3 first months.

Industry analysis
Certainly the food industry is one of the most spacious, and one of the most competitive.
On this occasion the sector which focuses this work is of the restaurants offering on their menu
the chicken wings and the boneless. This market has been exploited in the city of Chihuahua, is
one of the most required by dinners, this type of food preference requires a high demand for the
product.
The restaurant industry is like a 10.7% of the economic units in Mexico, this establishments
generated in the 2013 around of 177,145 million of pesos. In the service sector this industry get
more than the fourth part of the economic units. The restaurants get the second place in
employment generation of all the activities that are a part of the service sector. If we compare
other sectors like education, health or social assistance, together these had like the 96% of the
total employed by the restaurants1, like shown in the next graph:

Education

Health and social assistance

Business

Restaurant Industry

INEGI, Economic census 2014

The next graph shows a comparison between the numbers of establishments that has the
restaurant industry and other sectors1:

1 (INEGI, CANIRAC, 2014)

5
Electric energy, water, gas transmission and
distribution

Mining
Construction
Farming, fishing or agricultural activities
Education
Cultural service
Trade
Health
Restaurant industry
INEGI, Economic census 2014

Chihuahua has around 9200 food establishments and of those, 6500 are permanent
establishments, around 386 citizens per restaurant2, in this classification is “Chilowingas” and
according with the INEGI classification in the other food full-service restaurants that have around
$2 426 141 of income in Mexico3.
In the last years the wings and boneless restaurants have gotten a big popularity in Mexico,
generating that around 206 restaurants specialist in these food come to our country4. Like the
“Buffalo Wild Wings” an American business that the first establishment in the country was located
in Chihuahua5, this business has 11 places in Mexico and a Facebook Mexican fan page with
around 2,500,000 of likes, the royalties over sales are a 5.5% and the minimum area of each
restaurant is around 450 m2. Another important franchise is “Las Alitas” a Mexican business that
nowadays has like 80 places in 7 states in Mexico, this get the prestige with the personalized
attention to the costumers, a fast service and quality products with a taste like homemade and the
business benefits to the national production, because almost all the products like vegetables are
nationals6 and with a Facebook fan page with around 500,000 followers. Wings Army is other
establishment specialized in Wings was a Mexican family business at the beginning and actually
has around 120 restaurants in the country, this won the best food franchise award and in 2013 the
business had $87 million and 727 thousand pesos of income4. And the Buffalucas a Mexican
business that nowadays has about 30 places around the country and 2 in the USA 7. All these
competitors are good franchises but if “Chilowingas” make that its advertising and has the

2 (INEGI, Economic census, 2013)


3 (INEGI, CANIRAC, 2014)
4 (Muñoz, 2015)
5 (El Informador, 2014)
6 (Muñoz, 2015)
7 (Buffalucas, s.f.)

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objective to increase its brand could get to compete with all the wings restaurants in the country,
and why not in the world.

SWOT Analysis
Strengths
 Wide range of sauces, of which several of these are unique in this restaurant, for example
the chilosa sauce made from chilies of the region and with a peculiar taste.
 Have with a carousel small where show and give to try their sauces for a correct choice
according to the taste of the customer.
 Their prices are very accessible, are slightly below average.
 The wait time is suitable the flavor and the taste of the food is nice.
 Have with several televisions with satellite programming that provide clients with a good
entertainment.

Weaknesses
 The establishment has little space.
 The parking which it has does not comply with the regulation of construction
 The road on which the hotel stands, is a secondary road with a fairly high traffic flow, so
that access to parking is complicated.
 The service of the waiters is somewhat informal, this coupled with the limited space and
infrastructure that has.
 Has not an appropriate advertising plan to fully exploit their strengths.
 The open hours of the establishment are somehow a limiting factor to take them into
account as an option to visit after 10 pm, time which the majority of your potential customers
are looking for or require their services.

Opportunities
 Has a high degree of acceptance and satisfaction by users, this can help the publicity of
the settlement plan, if it included clients in such advertising (through their comments,
opinions, or even asking if they participate in digital media sharing for social networks).
 The point where is located is a good place to develop the business since it is close to
several shopping malls, and near one of the arteries of the city, missing only the approach
to the correct activation of various aspects to remodel the place in which are located
(complying with the regulations properly to offer a better service with more safety and
comfort).
 The history of the origin of this franchise can be used within the plan of advertising since
that is interesting and of Mexican origin.

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Threats
 The establishment doesn´t have a proper presentation in its facade which converts directly
into a threat to the attraction of clientele.
 The lack of suitable advertising plan, at the point of take-off of the franchise can weaken
their impact on the market, leaving them out of the competition with the big franchises.
 The absence of promotions leaves out much of the youth market, which is its highest
consumer.
 Large group of competitors which has is a clear threat to the prestige and the years of
service you have.
 The establishment is closed at the 10 pm it can provoke that the costumers can decrease
because the young people almost all the time go to dinner like 9 pm to 12 am.

Competitor analysis

Buffalo wild wings


One of the oldest and most known “Wings Restaurant”, is Buffalo
Wild Wings, born in 1982 in Columbus Ohio. They have extended around
the five continents, becoming in one of the most important “restaurant
franchise” of the world.
http://buffalowildwings.com.mx/about.html

Buffalo Wild Wings is known by having a very original flavor in its wings and sauces, also
has a very comfortable environment like a “sport bar” with a lot of big screens and with fashion
background music when there are not a sport game or some special event in the TV. But it has
some weaknesses like the service isn´t very good, some people make commentaries that the food
hasn´t a good taste8 (prices in the annexes).

This restaurant chain uses sporting events as way to attract advertising and customers to
its establishment, offering a variety of sports in their programming and big surprises in special
events such as the Super Bowl. They use a freshening attached to American football as an
attraction for customers.

8 (Buffalo Wild Wings, s.f.)

8
Las Alitas

Las Alitas began their history in 1995 summer in Metropolitan zone of


Monterrey. But was until 1998 that the company decided to grow developing
the franchise system “Las Alitas” be installed in, practically, al the country.
http://franquicias.lasalitas.com/content/concepto

The franchise is characterized for keeping a familiar environment all the time with a very
big and varied menu in addition to had been one of the first “Wings Restaurant” of the country.
One of the most important disadvantages is that the company stayed lagging in front to the
competition, while the others companies equaled and perfected its flavor, Las Alitas did nothing
to highlight in front of them. From hand of the last point, the prices kept high in comparison to the
flavor, this is the first reason why the people prefer other places9 (prices in the annexes).
Las Alitas uses an advertising system based on phrases or songs that talk about their
product in a fun way, meaning through these strategies seeking to attract the attention of
customers. They are using radio and billboards mostly.

Wings Army
Wings Army born in Guadalajara Jalisco México on May 8th of 2005.
It was such a success that in 10 years the company has more of 140
franchises along the country and has the intention of opening its doors to the
United States, Central America, South America and Europe.

http://www.wingsarmy.com/mx/

9 (Las Alitas, s.f.)

9
The company represents one of the most important competitors by the simple fact that has,
practically, the same concept of service. Wings Army is distinguished for having a very good flavor
for the price that offers, the installations offer a nice concept of military installations and they have
a varied menu with a many different sauces.
One of the most remarkable disadvantage is its compact installations, when the places are full or
almost full, is an uncomfortable place to be eating. Also, the attention is not very well, mainly due
to a not-very fast service10 (prices in the annexes). Wings Army uses an advertising based on a
military ambience, this restaurant chain has more space on your ads spectacular, and television
advertisements, and due to its positioning as a very famous chain in the United States is generally
well known through television media.

Segmentation

 The principal customers are the young people around the 18-30 years that want to be with
friends, food and beers.
 For families and lovers of the wings and boneless.
 The people who live around 5302 Francisco Villa Avenue, Col. Arboledas, Chihuahua,
Chih.
Ages Segmentation

Under 17 years
18-30 years
30-50 years
Above 50 years

10 (Wings Army, s.f.)

10
Targeting
Under 17 years

“Chilowingas” has a kids menu, many entrance dishes and even small dishes with variety
of sauces ranging from less spicy.
18-30 years

This is the category that “Chilowingas” has more costumers for that the principal focus of
the business is in this sector of the population. The business has a lot of dishes and sauces for all
the tastes and with the alcoholic drinks can attract more this people. Also has combos to partners,
to share and meetings with friends or family. The establishment has TV´s to listen good music, to
see sports or important events.
30-50 years

To have an excellent time in partner, somedays to have a break from the house
“Chilowingas” has a good environment and delicious dishes, like the specialties or for the women
who want to stay fit some salads and soups. Or even to a business meeting is a good place to
taste a special tex-mex flavor with a good beer to have an amazing and relaxing time.
Above 50 years

The old people are the minor costumers of “Chilowingas” but even the establishment has
dishes like soups, salads or hamburgers that can be a good option to enjoy the time out of the
routine.

Positioning

 CHW - Chilowingas
 BWW – Buffalo Wild Wings
 WA – Wings Army
 LA – Las Alitas

Like the graph show “Chilowingas” can compete with all the restaurants, obviously has to increase
things like the capacity, maybe lower prices, variety, but respect to service, taste and the
comments is really good, so this business has the opportunity to be a big franchise like BWW or
even better.

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Positive punctuation according to surveys
Chilowingas Buffalo Wild Wings Wings Army Las Alitas
Price
35
30
25
People comments Quality
20
15
10
5
0

Capacity Service

Variety Taste

Product
The principal products in the “Chilowingas” are:
WINGS
Delicious breaded chicken wings with the sauce of your election.
BONELESS
Chicken strips grilled or breaded with the sauce of your election.
SALADS
CHAPETEADA
With lettuce, peach, apple, strawberry, nuts, blueberries, almonds and sweet dressing.
LA CHILOSA
With lettuce, tomato, cucumber and delicious breaded boneless

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CAMPESTRE
With lettuce, tomato, cucumber, panela cheese and croutons
HAMBURGERS
SIRLOIN
With ham, cheese, lettuce, tomato, cucumber and dressing.
GRILLED CHICKEN
With lettuce, tomato, cucumber y dressing
CRUNCH CHICKEN
Bacon, onion rings, lettuce, tomato, cucumber and dressing *All the hamburgers included
French fries.
TACOS
CHILOSAS STYLE
Breaded boneless tacos, lettuce, tomato, cucumber, mayonnaise and the sauce of your
election.
SIRLOIN
Sirloin tacos, lettuce, tomato, cucumber, onion and the sauce of your election.

Price
WINGS
Can be 8 to 50 pieces from $80.00-500.00

BONELESS
Can be small, medium or big, 180 to 700 grs from $65.00-198.00

SALADS
From $59.00-75.00

HAMBURGERS
Unique price - $89.00

TACOS

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Can be $69.00 and $89.00

Place
The actual establishment is located in a good part of the city because it is in one of the main
streets of the city and makes it easier for the customer to get there. But the problem is that it has
not an appropriate parking and is really small to all the people that sometimes want to eat in the
restaurant, especially in the holidays and weekends. And can look like it´s hidden because in the
entrance is a weird steel fence and hasn´t a good facade.
The restaurant has a good decoration, well combined and the installations are acceptable.

Promotion
Now: The principal advertising that “Chilowingas” has is the Facebook page:
https://www.facebook.com/Chilowingas-563284450370209/
In this page is published the menu with prices, day promotions, pictures of the place and
food, some pictures, videos or GIFS to attract the customer, a little history of the business, contact
information, the open hours, the localization. Actually the page has 5162 likes with a 4.8 stars
ranking and almost all the opinions are excellent about the place, service and price.

Some promotions and events like shown the next pictures:

Later:
Social networks.- Today, online advertising encompasses not only more sophisticated and
enticing banner ads but also online videos, branded websites, virtual worlds, and social marketing.
As of 2012, three-quarters of all teenagers reported having a profile on a social-networking site,
and 22 percent had a Twitter account. Half of all teens visit their social-networking sites daily and

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a third do so several times a day (Common Sense Media, 2012)11. For that the principal promotion
that we want to do is in social networks focusing in our principal costumers the young people, like
Facebook, Snapchat, Instagram and Twitter, and a web page with striking pictures of the food and
the place, interesting and positive phrases, GIFs, information about the promotions, menu,
combos, the general information and all of these to keep the public’s attention. Like:

11 (Media, 2014)

15
Radio stations.- We can find the way to increase the advertising with ads like the
promotions and discounts in the principal radio stations in the city focusing these to the people
around 30-50 years.
Billboards.- Another strategy can be with billboards around the city, with appetizing
pictures of the food and the localization, also highlight the home service, phone number and the
Chilowingas discounts.

Live events.-Promotions about famous sports events, live music in the restaurant and even
in the holidays creating contests or rallies, which can be promoting in the social networks or radio.
To have a good time with the family and friends giving to the costumers not only a delicious lunch,
also could have fun and happy moments.

Investment Cost (MXN)

Graphic Designer $ 15,000


- Three billboard designs & five flyer designs + photography content $ 9,000
- Social Marketing (per month) $ 6,000

Billboard (monthly quota) $14,000


Radio $ 4,000
- Commercial Recording $ 2,000
- On-air Time (per unit) * 20 times a week $ 2,000

Total $ 33,000

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Graphic Designer: The graphic designer will develop different tasks such as the management of
social networks and the creation of it’s content, such as photography and posts designs. Also, he
will design the billboards and flyers.
Social Marketing: This is the main point in which we are going to focus, since our target
customers are regular users on social networks. This is a monthly price that includes the
management of a Facebook fan page, with at least 5 posts per week, photographies, where also
can be included an Instagram profile management, and answering messages from costumers.
Billboard: This is a monthly price which can vary depending on the zone the billboard is going to
be.
Radio: This will include the creation of a commercial of twenty seconds, and the time it is on-air.
Spot information:
- Restaurant’s name
- Address, telephone number and open hours
- Promotions
- Catchy phrase

We have an implementation plan to meet our goal, based in the promotion ideas we have some
effective strategies to develop around many years successfully, shown below:
- Implementation of a Calendar of Events for social network advertising and radio campaigns.
This timetable will be created at first for the months of November to December and radio
campaigns will have an estimated duration of one month.

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- With a marketing schedule about all the promotion that we want to add in the months of
October-February, like the social networks ads, radio commercial, important events or
holidays and billboards.

- Give coupons of discounts to our customers and their friends to recommend us and create
contests of “Who know all the sauces?”, “Know our location?”, “Who can eat an order with
the hottest sauce in the less time?” and offer these costumers free dishes, taking advantage
of the social networks and their innovative apps, also with the radio commercials to promote
this.
- Hire a professional photographer to take and edit pictures of all the dishes, sauces and the
place, to use in social media, billboards and any other promotions for Chilowingas.
- Have promotions and innovative events to celebrate holidays such as Christmas
(December 24th), Mother’s and Father´s Day (May and June), Day of the Dead (November
2nd), Revolution Day (November 20th), Valentine´s day (February 14th), Independence Day
(September 16th), also in birthdays of the costumers by proving it with an ID, in addition to
publicize these promotions through social networks.
With events and promotions like:

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- Create a schedule of sports main events that people could watch in Chilowingas and
promoting them, such as:

Sport event Approximate date


Super bowl February
World series October-November
Champions Final May
NBA Final June
MX League May
With promotions like
- Each wing per $5.00 pesos
- Big and cheap combos to friend groups
- If you drink $300.00 pesos or more of alcohol you have 14 wings free.
- All the hamburgers per $60.00 pesos

The advertising plan covers a period of 5 months, in which it must reflect the work in the
increase of customers and capital, among other aspects. With these aspects we can measure the
success of the advertising plan, focusing on the following indicators:

 Increase of fan page followers.

 Increase in monthly sales.

 Creation of a Chilowingas Thermometer. This element is a system that will be developed


in the following manner: a thermometer with certain graduation indicating the number of
consumers during the month will be placed, the thermometer will have a limit, which will
have an effect to be achieved which will call the Chilowingas hour, indicating that at that

19
time it will begin an hour in which everything that is consumed will be subject to a 50%
discount. So using this indicator, we will measure the number of clients that we achieve per
month, in addition to helping us to increase our customer base.

 Simple surveys 4 questions to give account to the tables or orders:

Is it the first time that you visit us?


How do you know about Chilowingas? (People recommendation, social networks,
billboards, radio, etc.)
What did you like from your visit to our restaurant?
Do you recommend us?

Through this indicator we can plan and identify how and where to grow our market and in addition
will yield information about the level of customer satisfaction.

Chilowingas menu, Facebook page

20
Wings Army menu, Website.

Las Alitas menu, website.

21
Buffalo Wild Wings menu, website.

22
Poll about Wings and Boneless Restaurants in Chihuahua City

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Buffalo Wild Wings. (n.d.). Retrieved from http://buffalowildwings.com.mx/about.html
Buffalucas. (n.d.). Retrieved from http://buffalucas.com/es/escritorio.html
Delgado, R. (2012, Abril 6). El economista. Retrieved from
http://eleconomista.com.mx/industrias/2012/04/06/las-alitas-franquicia-altos-vuelos
El Informador. (2014, Enero 26). El Informador, Diario independiente. Retrieved from
http://www.informador.com.mx/economia/2014/509607/6/alitas-un-negocio-que-vuela-alto-en-
mexico.htm
Facebook. (n.d.). Retrieved from https://www.facebook.com/Chilowingas-563284450370209/
INEGI. (2013). Economic census.
INEGI. (2014). CANIRAC. Retrieved from
http://www.canirac.org.mx/images/notas/files/Mono_Restaurantera(1).pdf
Las Alitas. (n.d.). Retrieved from http://franquicias.lasalitas.com/content/concepto
Media, C. S. (2014). Advertising Research Brief. Retrieved from csm-advertisingresearchbrief-20141.pdf
Muñoz, D. (2015, 03 18). El Financiero. Retrieved from http://www.elfinanciero.com.mx/empresas/un-
negocio-con-alas.html
Wings Army. (n.d.). Retrieved from http://www.wingsarmy.com/mx/

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