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Contents
About Graze:........................................................................................................................3

Market analysis:...................................................................................................................3

Situation analysis:................................................................................................................3

External factors:...............................................................................................................3

Opportunities:..............................................................................................................3

Threats:........................................................................................................................4

Internal factors:................................................................................................................4

Strength:.......................................................................................................................4

Weakness:....................................................................................................................4

Competitors’ analysis:.........................................................................................................4

Objectives of Graze:............................................................................................................5

Primary objective:............................................................................................................5

Secondary objective:........................................................................................................5

SMART objectives:.........................................................................................................6

Consumer insight:................................................................................................................6

The subscription box shopper:.........................................................................................6

The UK and US traditional consumer:............................................................................6

Customer profile of Germans:.........................................................................................7

Customer characteristics:.................................................................................................7
 The busy single worker:...............................................................................................7

The busy married worker:............................................................................................8

Customer needs and wants:.............................................................................................8

Audience Segmentation:......................................................................................................8

Segmentation criteria:......................................................................................................9

Lifestyle:......................................................................................................................9

Personality:..................................................................................................................9

Taste:..........................................................................................................................10

Graze's market segments................................................................................................10

Targeting........................................................................................................................10

Geographic:................................................................................................................11

Demographic..............................................................................................................11

Psychographic:...........................................................................................................12

Behavioural:...............................................................................................................12

Positioning:....................................................................................................................12

Marketing strategy:............................................................................................................13

Pricing strategy..............................................................................................................13

Product strategy.............................................................................................................13

Place strategy.....................................................................................................................14

Distribution channels and methods:...............................................................................14

Promotion strategy.............................................................................................................14

References:........................................................................................................................16
About Graze:

Graze is a snack company that was created in England in 2008. The company started off

selling snacks by email, including nuts, small puddings, and porridge. The company belongs to

the niche category of subscription box sites and enjoys a good reputation in the markets they

have entered. The company has already extended to the US and just established in other

countries. Now, they are expanding in the European region in which they have to face new

customers, Germans.

Market analysis:

Graze's a business operated online, it is important to take a look at the online retail

industry around the world and the largest market in history. The analysis of the subscription

shopping category, which is the specific business model that the company follows:

Situation analysis:

External factors:

Opportunities:

 Graze can easily expand throughout their country by using the online channel in

which they are experts.

 Graze is getting access to new and healthy ingredients in new places to orient.

 It is a huge chance to gain the experience of foreign markets of snacks.

 Germany is an attractive economy to do business in.

 Threats:

 Emerging and current competitors in Germany like Butterbrezel, Lebkuchen,

Doner etc

 Germans have different tastes and preferences as compared to the customers of

the UK and US.

Internal factors:

Strength:

 Graze enjoys strong brand recognition that can be transferred.

 The network marketing strategy is strongly implemented previously

 Wide varieties of snakes and unique creations of product and packaging

 The trust factor on the Graze that the product they sell is nutritious snacks which

are created under the supervision of nutritionists and experts.

Weakness:

 The cost of the snacks is more than the cost of the products to the competitors.

 The business has no economies of scale in some of the areas they are running

their service.

Competitors’ analysis:

Lately, healthy food is not that hard to find in Germany, as more consumers are going to

realize that they are willing to have a healthier substitute, the more firms have a chance to bring

them healthier alternatives. There is saturation in the healthy food marketplace, that is why Graze

is proving a unique way to experience shopping.

 Graze have 5 principal competitors as followed in the graph:

Figure 1: 5 Principal Competitors

Objectives of Graze:

The specific subject for the development of the objective and goals is a launching event

to attract the ‘’FITNESS MOM TO GO’’, which is also the targeted market of the Graze.

Primary objective:

To attract young businesswomen involved in the trends of health who can start buying

Graze

Secondary objective:

 To get help from their buyers to share the product with their mates.
  To get help from their buyers to trust the Graze by influencers and to show them

that have utilized the snack box.

SMART objectives:

To acquire the primary objective and to retain the target consumer

 Specific: the retention and acquisition of the specific target market

 Measurable: 60% Acquisition Rate

 Achievable: it is expected to reach from 50% to 70% acquisition rate according

to the availability of the resources.

 Responsible: The German brand manager will keep the track of the achievements

and accomplishments

 Time-related: within six to eight months Graze is expecting to achieve the

objective after the second event.

Consumer insight:

The subscription box shopper:

The customer of Graze is importantly above average in income and level of education,

the age is to be in between 25 and 39 and most of them are women. Furthermore, they live in

multicultural urban neighbourhoods in the larger cities like Berlin, Munich etc. Subscription box

shoppers are mostly culturally-minded and are having active and health-conscious lifestyles.

The UK and US traditional consumer:

Graze had a successful market in the UK and US; it was the result of the unique selling,

preposition and the adequate segmentation criteria they followed in the initial. For example, in
the UK, they observed that the office workers were tired of eating the usual junk food and were

experiencing the subsequent decline in their health due to this diet. Graze has traditionally

targeted those office workers that spend their time in the office mostly and are exhausted of the

fast food and unhealthy snacks.

Customer profile of Germans:

The customer profile that can be identified in Germany for Graze is mainly based on the

likeness of purchasing online and on the family life cycle. On this basis, they can either be busy

single workers and busy married workers.

Very first, the consumer profiles communicate to the busy single workers. These people

are characterized as new to the business environment. On the other hand, the busy married

workers are more time taking for Graze in showing the advantages of buying online, because

they are not attracted to the idea of shopping online and have doubts about purchasing online.

Customer characteristics:

The busy single worker:

Graze has traditionally targeted this segment by paying attention to two principal

characteristics: they do not have time for their food preparation and they are millennials i.e. they

are more into purchasing online. These consumers are above average in income and educational

level, the age is between 20 & 30 years old, and most of them are women.
 The busy married worker:

The second consumer profile is characterized by being younger Gen Xers, having higher

economic stability and disposable income. These busy married workers have a stable family with

no time to prepare food for them.

Customer needs and wants:

The needs and wants of both consumer segments are similar in quality and convenience

and both needs the same service of receiving the snacks directly to their houses or offices with

some variations:

 The busy single worker is interested in the rates of the snacks and the experience of

shopping them online.

 The busy married worker is interested in every detail of the product and services as

the snacks will be consumed by the family that is why the customer is very picky and

ask for a better quality of snacks.

Audience Segmentation:

The most important factor in the segmentation of the Graze market is finding that need

and crave a healthy snack that is why the brand has identified that two major segmented

categories for their products. On the other hand, it was necessary that the identified segments

also require the snacks of Graze.

First, as per the time of consumption, Graze is aware that they have the satisfying rate of

their products which will not allow the consumer to go for any other meal for their day, that is

why the snacks are being used at breakfast, the gap between the breakfast and lunch and dinner.
 Secondly, Graze offers three kinds of consumer according to the life cycle to which they

belong. For example, they have to make snacks for those millennials who are not married and

age lies between 20's and '30s.

Segmentation criteria:

The segmentation criteria of the Graze are specific in characteristics. Lifestyle,

personality, and taste preferences are the criteria that mean that they have a low degree of

measurability, accessibility and actionability.

Lifestyle:

Most probably, this factor is very relatable for Graze as an indicator of the cooking habits

of consumers. For example, the busy single worker may be used to cook on his own and to use

easy find and affordable ingredients; besides that, it is possible that they are not enjoying the

cooking much because they have to do it as an obligation. This would mean that they prefer

snacks that's seem perfectly cooked and that combines a different kind of ingredients all in one

snack.

On the other hand, the busy single worker probably enjoys more cooking habits with his

family, which is why the company can interact more with this kind of consumer and provide

them with recipes.

Personality:

Latin Americans differ wildly from other cultures In respect to personality. Typically

personality traits of Germans are about friendliness; which is why Graze has to take into account
that Germans would like the snacks that they can share with family and friends, they would also

want to refer the product to others easily.

Taste:

Germans food varies from region to region; however, generally Germans like the same

kind of food, they have different varieties of fruit, which makes them like sweets more than other

cultures; they also have many varieties of ingredients that probably want to include in their snack

habits

Graze's market segments

Taking into account the different segmentation criteria and the consumer profile findings,

we end up having two primary market segments:

 Fitness mom on the go

 Busy single worker

The most relevant segment in Germany, according to the research findings, is the fitness

mom on the go.

Targeting

In Germany, the target of Graze is the fitness mom on the go that lives in Berlin has no

more than two children, is a millennial between the ages of 25 to 35, and has above average

income. She is worried about health and wants her family to always eat healthy food and have it

on hand. She works most of the time and uses Graze as a way to get her snacks to get a family

box to share with her family.

These are some of the characteristics:

 Geographic:

The fitness mom on the go-lives in Berlin or a city nearby. Berlin is a city characterized

by cold weather and messy traffic. Graze has to take that into account because ideally,

consumers would want to get snacks according to the weather

As far as the sector in which the target market is located, the fitness mom on the go is

usually found in the north of the city; which is why ideally Graze is located nearby.

Demographic

Some of the demographic characteristics of the population In Berlin are the following:

The total population is 5720 people, 51.2% of them are male and 48.8% are women, the

median age of the population is of 42 years. As far as occupational employment in Berlin is

concerned, the majority of them are White Collar with 57.8%. The number of households in

Berlin is 2306; the majority of them are family households, with 69.4%. According to the marital

status of the population, the majority of the people are married, with 54.1%, followed by 23.7%

corresponding to never marry.

The household income in Berlin reaches the top when people are 45 to 64 years old. The

fitness mom, who is Graze's target market, is between 25 to 35 years old, she belongs to the

group of people with the second biggest household income; she also belongs to the 54.1% of the

citizens that are married. As far as the education degree, the fitness mom has a bachelor or

graduate degree, among 496 people in Berlin, according to statistics.

 Psychographic:

The fitness mom is characterized by being concerned about her family's health; she

cannot be them all the time; which is why. Graze gives her the security that they will cat healthy

while she is not home.

She is also highly aware of her body image; she exercises and goes to the gym frequently.

She belongs to stratus 4, 5 or 6 and likes activities, such as, going out to dine with her friends,

who are also concerned about a healthy lifestyle.

Behavioural:

The fitness mom is likely to subscribe and get her weekly boxes to share at home,

eventually; she would take the snack to the office to have something healthy for a snack. She is

into watching cooking tutorials and following health tips online, which is why it is a good way to

connect with them through influencers and YouTubers.

Positioning:

In the beginning, when Graze started, its marketing approach was "Everything but

Common", customers were not used to having convenience and health in the package. The

consumer never thought that snacking could be healthy and delicious at the same time. Graze has

made sure of having a system that allows them to offer a special service that is hardly imitable.

The company knows the know-how and complex technology system that make them unique.
Marketing strategy:

Pricing strategy

Graze decides to implement a standardization strategy; which is why they set a price for

the snack box as it leaves the factory. Consumers get their first box half price and the other boxes

will cost €13.99 each; with the euro price of 2,889.37 pesos; every box will be sold for 40.400

pesos. Nonetheless, it is important to take into account the following factors:

Sensitivity: As said before, in Berlin there are many sources where to get snacks, and this

aspect can contribute to consumers switching from one brand to another. This is why Graze has

to continuously implement incentives for customers. The first incentive the company gives is the

first Graze Box, by the time consumers sign in to the service

Price association: The company implements a price strategy associated with the quality of

products; which is why the service is priced as premium so that it would be an indicator to

consumers that they will get a quality snack box

Product strategy

Graze's product is a personalized box that contains all different kinds of healthy snacks

and can be chosen and bought online. Consumers subscribe to the delivery service and can

personalize the delivery frequency to either weekly, be-weekly or monthly. Consumers have

even the chance to tell the company that they are going on vacation and can stop taking the

service for a specific period. The brand was born as an alternative for those office workers that

have no time to prepare their food and are tired of the same unhealthy snacks.
 Graze incorporated is headquartered in The U.K and has recently expanded to the U.S

where is also sold in supermarkets and stores Graze is positioned as an exciting and healthy way

to eat at work, provides a healthier and better way to snack for those who want to follow a

healthy lifestyle and want a convenient yet delightful treat.

Place strategy

Distribution channels and methods:

The way Graze operates is by an online store and consumers can also acquire the

subscription plan to automatically get the snack boxes delivered to their houses. An important

aspect to take into consideration is the number of consumers that have access to the online store

by using the cellphone. For instance, sites in Germany are now mobile-dominant, with over half

of their visits coming from smartphones or tablets. During the 12 weeks ending, 53 per cent of

US visits to the subscription box industry were from a mobile device compared with 35 per cent

of all online visits that come from mobile. In the UK and Australia, subscription box sites are not

yet mobile-dominant, but the mobile share of visits is higher than the all-industry average." The

geographic area the service will be available in:

The snack boxes will be available for delivery in Berlin.

Promotion strategy

The two most important channels that Graze uses are Social Media and Search Tools. For

instance, according to research, Social media is a strong driver of the subscription box category

as consumers learn about new sites through sponsored ads or posts shared by friends. In the

United States, 13.5 per cent of referred visits to subscription box sites in December 2015 came

from a social media site, whereas the typical retail site received only 8.4 per cent of traffic from
social; In addition, search engines play an important factor, because they are a source of the

traffic to Graze's a web site.

Graze has another consideration into account by giving consumers a free initial box with

a special code that they can access by using a discount code.

References:

Agarwal, T., 2015. Selling point. Property Journal, p.30.

Crofton, E.C., Markey, A. and Scannell, A.G., 2013. Consumers' expectations and needs

towards healthy cereal-based snacks. British Food Journal.

Khalil, S.P., Doney, P. and Cannon, J., Tag Archives: Graze.