NATIONAL UNIVERSITY OF SCIENCE AND TECHNOLOGY

FACULTY OF COMMERCE
GRADUATE SCHOOL OF BUSINESS

MASTER OF BUSINESS ADMINISTRATION FOR STRATEGIC MANAGEMENT

INDIVIDUAL ASSIGNMENT

COURSE STRATEGIC MARKETING

COURSE CODE BSM 5103
STUDENT NAME MUNASHE P SIZIBA
STUDENT NUMBER N02314803S
LECTURER Dr Z. NTINI
 Strategic marketing plan for DCK bakery in Zimbabwe
Mission Statement:

To be the leading bakery in Zimbabwe, providing fresh, high-quality bakery products with
excellent customer service.

Vision Statement:

To nurture a culture of excellence where customers associate DCK bakery as their preferred
choice for all baking needs.

Situational Analysis (SWOT Analysis):

Strengths:

- Product diversification with a wide range of baked goods like breads, cakes, muffins,
doughnuts etc. This appeals to different customer tastes.
- Established distribution network covering major areas in Harare through own retail
outlets as well as third party distribution channels.
- Skilled labour force with experienced bakers and staff. Training programs help maintain
skills.
- State of the art machinery procured from reputed global brands ensures consistency and
quality. Periodic upgradation keeps technology current.
- Distinctive packaging builds the brand and product appeal on shelves. Standout designs
attract eyeballs.
- Flexible pricing model factoring costs, competition and customers’ paying ability helps
maximise volumes. Discounts and combos widen appeal.

Weaknesses:

- Inconsistent quality and service delivery due to inefficient processes at times leads to
wastage and dissatisfied customers.
- Service culture needs strengthening with more training and accountability. Frontline staff
skills and etiquette training improves customer experience.
- Limited presence outside major cities restrict market reach and volumes.
Opportunities:

- Growing demand for bakery products with changing customer tastes and preferences.
Exposure to global trends and willingness to experiment presents chances.
- Untapped potential in smaller cities and towns by expanding branch network through
suitable dealer and franchise models based on area potential.
- To introduce on-demand delivery services like ‘dial-a-delivery’ to cater to busy modern
lifestyles and enhance convenience for customers. This leverages tech and delivery fleet.
- Conducting baking lessons and workshops to boost brand visibility, educate consumers
and promote as a hobby. Monetizing the activity provides additional revenue stream.

Threats:

- Intense competition from smaller bakeries and growing international chains erodes
market share and profits if not countered strategically.
- Risk of new foreign or local entrants with deeper pockets, latest technology and pan-
African ambitions. They can undermine position and pricing.
- Economic fluctuations impacting disposable incomes and consumer spending habits
temporarily dampen demand.

History and Current Situation:

Founded in 1990 in Harare as a small retail bakery by David Chinyanga with 5 employees, DCK
bakery grew organically over the years. It established a reputation for quality baked goods and
innovated with new product offerings tailored to local tastes. By 2010, it had 5 owned outlets and
a workforce of 75 generating annual sales of USD 2 million and net profits of 15%.

It focused on consistent quality, training programs for employees and strategic expansion in high
growth areas. A new automated bakery was set up in 2015 with funding from a development
finance institution nearly doubling previous capacity. This supported opening 8 more branches
by 2020 and third party distribution to major supermarkets and wholesalers.

Currently DCK employs 150 people across 13 owned outlets and bakery.Though impacted by
COVID in 2020 with reduced sales and temporary outlet closures, it reported annual revenue of
USD 3.5 million and net profit margin of 12% in 2021 recovering strongly. The brand is now one
of the largest organised bakery chains in Zimbabwe with a loyal customer base. However
competition and changing consumer preferences pose challenges to maintain leadership.

Marketing Objectives:

1. Achieve 20% sales growth annually over the next 3 years maintaining 12% net profit
margin
2. Increase retail outlet presence to 20 by end of 2024 in major cities and towns across
Zimbabwe
3. Launch dial-a-delivery service and generate 15% revenues from delivery and e-
commerce by 2024
4. Double international and bulk orders revenue from current levels by 2024 through
aggressive marketing
5. Build brand awareness and recall amongst target segments through innovative marketing
initiatives

TARGET MARKET STRATEGY:

The target market consists of:

Upper-income urban residents of Harare between ages 25-45 years: Career professionals, dual
income households and affluent retirees with higher discretionary spending on quality food and
lifestyle products. Estimated to grow at 8-10% annually.

Mid to high-income residents of other major towns: White-collar executives, business owners
with growing earnings able to trade-up occasionally. Mainly in Bulawayo, Mutare, Gweru with
population of over 100,000 people. Growth potential of 12-15% per annum.

International clients: Major hotels, airlines, embassies, MNCs. Also Zimbabweans

living/working abroad looking for a taste of home through gifting.

Segmentation Strategy:

1. CBD Branch, Harare: Target premium customers around CBD, northern suburbs through
finest interior, personalised service and premium pricing. Focus on bespoke orders,
evening gatherings baking classes.
 2. 14th Avenue Branch: Target remaining Harare residents through competitive prices,
variety and convenience due to location next to a busy commercial area.
3. Regional Town Branches: Mount Pleasant, Chitungwiza, Bulawayo, Mutare - Adopt
affordable pricing and family value proposition suited for growing middle class. Widen
offerings with healthier dietary specific items.
4. Dial-a-delivery: Target time-poor customers across major cities evenings and weekends
by eliminating waiting time. Offer pre-orders for bulk party needs, discount combo or
loyalty programs.
5. Online Portal: Target international clientele with seamless ordering, customised products,
prompt delivery tracking and payments. Facilitate “a taste of home” gifting.

Marketing Mix Strategy:

Products:

- Expand variety within categories like premium cakes, artisanal breads, dietary focused
muffins
- Build excitement around seasonal, festive ranges and loyalty rewards
- Leverage latest trends like keto, paleo, vegan, gluten-free flavors
- Maintain freshness SLA of over 90% through refresher training, audits

Place:

- Open 4 new branches - 2 each by 2023 and 2024 primarily in major regional towns
- Appoint viable dealers/franchisees in potential untapped areas
- Develop online portal for e-commerce sales and delivery orders

Promotion:

- Endorsements from local influencers on social media platforms

- Outdoor branding around new branches for 90 days
- Radio partnerships with breakfast shows to build awareness
- Print ads in lifestyle magazines, community newspapers
- Launch referral programs, anniversary sales
Price:

- Competitive pricing for high volume ordinary items

- Premium rates for exclusive, artisanal items
- Special introductory rates for trial
- Combos/bundles, reward tiers in loyalty programs
- Volume discounts for institutional, corporate clients

People:

- Ongoing soft skills, product training - Reward high performers

- Empower branch managers - Incentivise sales growth
- Hire dedicated customer support staff
- Strengthen work-life balance initiatives to retain talent

Process:

- Automate back-end processes like MRP, order processing

- Adopt technology like ERP, digital PoS, CRM platform
- Instill quality and safety certifications like ISO
- Customer feedback redressal within 24 hours
- Periodic production, distribution improvements

Marketing Implementation:

An integrated marketing campaign focusing on awareness and trials will be launched in phases
over 15 months.

Month 1-3:

- Social media teaser campaign to build buzz

- Launch branches with ribbon cutting events, influencer meetups
- Posters, pull up banners at branches

Month 4-6:

- Print ads in key magazines, newspapers across regions

 - Outdoor branding around new branches
- Radio spots during prime slots

Month 7-9:

- Google ads and keyword campaigns

- Initiate referral programs at branches
- Rebranding exercise for older outlets

Month 10-12:

- Festive/seasonal catalogue mailers

- Facebook/Instagram promotions
- Partnerships with F&B outlets

Month 13-15:

- Anniversary/loyalty customer appreciation drives

- Integrated catalogues/mailers for corporate clients
- Roll-out dial-a-delivery in remaining regions

Budget: USD 150,000

Half yearly reviews will evaluate traction of campaigns and corridors requiring refinement.
Customer satisfaction surveys will assess brand perception and guide service enhancements.
Quarterly sales analysis will indicate segment behaviors to adapt communication. Influencer
feedback will highlight fresh trends and product opportunities. Adjustments will ensure optimum
realization of objectives.