Situation Analysis & New Product Development: GREEN THUMB PROJECT 1.

Louie Quir Joseph L. Ijao

City University of Seattle

MK-300 Principle of Marketing

Professor Ali Noorafshan

August 10, 2022

Situation Analysis & New Product Development: GREEN THUMB PROJECT 1.0

1. Conduct a study of its consumer target market to include demographics, geographics,

and psychographics. Be sure to take into account the target market of competing

products, finding a niche for yours.

THE AGRICULTURE, AND FOOD AND BEVERAGE INDUSTRY

Regarding food security, growth, and profitability, the agriculture and food and beverage

industries are currently outpacing all other sectors. The global agriculture and food and beverage

industries will continue to expand and prosper. The modernization, healthiness, and tastiness of

people's food and beverage are becoming a trend in the food and beverage industry, where many

businesses have opened.

People, vegans, vegetarians, and especially young health-conscious, spend time searching

for healthy and unique foods so they can consume healthy food every day.

TARGET CUSTOMERS

Canadians, immigrants, and even tourists are now seeking unique and healthy food across

the country, and not just to eat it in a restaurant; they are also seeking restaurants that have a

genuine connection to nature and agriculture, as well as a place to participate in planting and

harvesting activities. It would be so entertaining!

These needs are reflected as follows:

1) Vegetarian

Numerous individuals are vegetarian. These individuals practice vegetarianism by

abstaining from eating meat. And this type of business is a perfect fit for them, given that

they are seeking a restaurant that can meet their food requirements every day.

2) Vegan

Vegans are also welcome because they have access to various complex food options.

At the same time, veganism is the practice of abstaining from the use of animal products,

especially in diet, and the associated philosophy that rejects animals' commodity status. A

vegan is an individual who follows the vegan diet and philosophy. They are also a perfect

fit for this restaurant.

3) Health-conscious people

These individuals are concerned with the healthiness of one's diet and lifestyle. Our

products are 100 percent healthy, organic, and non-GMO; we target these individuals

because we can meet their nutritional food requirements. Fruits and vegetables are our

most essential products that fit their needs.

4) Family and mostly women

According to our research, women in the family primarily enjoy eating fruits and

vegetables. Women are pickier eaters than men and outnumber men. We can supply them

with an ideal assortment of foods to meet their needs, not only as individuals but also as

families. Nowadays, families choose nutritious foods over junk foods.

 Target Market/ Target Customer in MARKETING MIX:

DEMOGRAPHIC:

 ALL AGES

 MEN AND WOMEN (mostly WOMEN)

 INDIVIDUAL AND FAMILY

 MIDDLE INCOME EARNER AND HIGHER

PSYCHOGRAPHIC:

 MIDDLE CLASS AND HIGH CLASS

 VEGETARIAN

 VEGAN

 HEALTHY LIVING / HEALTH-CONSCIOUS

 PEOPLE WHO LOVE PLANTS

GEOGRAPHIC:

 CANADA

 BRITISH COLUMBIA

 VANCOUVER CITY

BEHAVIOR:

 WITH THE SAME INTEREST OF FRUITS AND VEGETABLES

 DAILY USE (FOOD / BASIC NECESSITIES)

 LOYALTY to Loyal Customers

 CANADIAN STATISTICS / CENSUS (VANCOUVER)

The prospected target location is in the city of Vancouver in Canada.

662,248 Total Population in Vancouver

337,675 are WOMEN (most women eat fruits and vegetables)

168,660 Total - Census families in private households by family size - 100% data

305,335 Total - Household type - 100% data

Source: Statistics Canada, 2021 Census of Population.

HEALTH CONCERNS

As people become more aware of the health benefits of regularly consuming fruits and

vegetables, the demand for them rises.

The availability of a diverse selection of fresh fruits and vegetables will impact consumer

demand for this industry's products. This includes the development of new varieties, higher

quality products, and pre-cut and pre-prepared foods. As consumer demand for fruits and

vegetables rises, demand from wholesalers will increase in subsequent markets. (Buchko, 2022)

DIETARY TRENDS

Increasing nutritional awareness and a preference for a diet rich in produce positively affect the

demand for fresh vegetables, potatoes, and melons in the United States.

Increased media attention on nutrition issues and recommendations for low-fat diets have

increased consumer awareness of the benefits of vegetable consumption. As the population

continues to reduce the fat content of its diet, demand for vegetables may increase. (Kanda,

2021)
VEGETARIANISM AND VEGANISM IN CANADA - STATISTICS AND FACTS

2.3 MILLION VEGETARIANS in CANADA

850,000 of VEGANS in Canada

Mostly in BRITISH COLUMBIA where City of Vancouver is located.

Vegetarianism and veganism are dietary practices that exclude meat. Vegans abstain from

all animal and animal-derived products, including dairy, eggs, and honey, whereas vegetarians

typically avoid eating meat, poultry, game, or fish. Additionally, animal by-products such as

gelatin and animal rennet are avoided. There are numerous reasons to adopt a vegetarian diet;

some choose this for religious reasons, while others do so for health reasons, with many

considering the vegetarian diet a healthy alternative. People have become vegetarians or vegans

due to concerns regarding animal welfare, the impact of animal agriculture, and environmental

issues. In recent years, the rising popularity of vegetarian diets has increased public awareness of

animal agriculture issues, prompting many individuals to reconsider their eating habits. (Wunsch,

2020)
 According to Statista (2021), a study that was conducted in the year 2018, there is 2.3

million of vegetarian and 850,000 of vegan in Canada. 28% of Vegetarian and 9.2% of Vegan

are from British Columbia.

2. Identify your points of difference and positioning strategy.

TARGET AND POSITIONING

TARGETING

The business targets are the vegan, vegetarians, women’s, families, and health-conscious

who are looking for a healthy product

HEALTH-
VEGANS VEGETARIANS FAMILIES WOMENS
CONCIOUS

TARGET OTHER
PEOPLE
CUSTOMERS
(CURIOUS)

POSITIONING

The business is positioned as:

“Green Thumb Project is a fresh produce company that provides consumers with a healthy,

pure, organic and non-GMO fresh products at an affordable price while achieving the highest

level of health.”

MARKET PENETRATION

The business will be located in a densely populated place especially in Vancouver to expose

green and healthy products to busy people and assist them in becoming healthier. We anticipate

significant pre-opening interest to Canadians, immigrants, and visitors.

3. Analyze relevant category trends.

2022's Fresh Produce Industry Trends

 A Focus On Health

Consumers are becoming more cognizant of the relationship between what they consume,

their health requirements, and how they feel. They are also concerned with the quality of fruits

and vegetables.

Quality fruits and vegetables are grown organically or without the use of chemicals. It

includes goods with no blemishes, scrapes, or bumps.

Superfoods, which include avocados, berries, pomegranates, mangoes, sweet potatoes, and

papaya, are gaining popularity. This is especially true for Northern and Western European

consumers due to the nutritional value of the produce.

Expanding B2B marketing for these products is causing a surge in sales. Consequently, the

growth of imports of these items is also increasing. Tomatoes and oranges, which are high-

volume produce, are experiencing little growth.

  Favoring Pure And Organic Foods

In 2022, the produce industry will experience an increased demand for pure and organic

foods. These items are popular because they contribute to overall health and taste better. The

majority of these food items are fruits and vegetables.

The demand for organic and natural foods is greater than the supply. This makes it simpler to

find buyers, and it also improves profit margins. However, this can be difficult for exporters in

tropical climates to meet the rising demand for organic products.

  Convenience Food

Convenience has become trendier as the years go by. Suppliers anticipate an increase in demand

for single-serve eCommerce packaging for refrigerated snacks through demand planning.

Included are snack packs containing protein and dairy products. They may also contain various

fruits and vegetables that are suitable for transport.

Healthy snacking is more popular than ever—consequently, the convenience of grab-and-go

snack options increases.

Popular supermarket chains anticipate that snack items like nutrition bars will be manufactured

with fresh produce. This leads to greater levels of innovation.

  Most Popular Fruits

Among the most in-demand fruits of 2022 are:

 Bananas. These fruits have been and remain among the most popular in the United States.

Potassium helps reduce muscle fatigue after exercise and protects against cardiovascular

disease.

 Grapes. Rich in vitamin K and potassium, grapes are both healthy and convenient.

 Watermelon. This fruit is rich in antioxidants and contains potassium, vitamins, and beta-

carotene.

 Strawberries. Antioxidant- and vitamin-rich fruit that is highly nourishing, delicious, and

convenient.

 Pineapple. As an antioxidant, this tropical fruit supports metabolism and helps regulate

blood sugar.
  Most Popular Vegetables

These are the most popular vegetables in 2022:

 Sugary corn This grain is popular due to its low starch content and culinary versatility.

 Tomatoes. They are a staple in nearly all diets and an essential ingredient in countless

cuisines. They are low in calories and rich in minerals, antioxidants, and vitamins.

 Potatoes. A nutrient- and potassium-rich vegetable that is delicious and versatile.

 Green beans. These are ideal for dinner because they contain a high amount of protein

and are bursting with flavor.

 Garlic. It is a staple in the kitchen and has numerous health benefits, including

strengthening the immune system.

Analyze consumer trends.
Convenient Vegetable packs (ready-made veggies in a box)

-especially in Vancouver where a lot of people are busy with their lives.

READY TO EAT FRUITS AND VEGETABLES FOR BUSY PEOPLE

 SWOT ANALYSIS

STRENGHT

 restaurant can get supply from our own farm

 experienced farming

 zero waste products

 unique excellent customer service

 healthy products and environmentally friendly

WEAKNESS

 minimal budget for the business proposal or lack of capital

 weather sensitive products

 lack of reputation, we have not yet established a fruits and vegetables provider

OPPORTUNITIES

 Vancouver is growing annually, the income and population

 people nowadays choose healthy products and environmentally products

 fruits, vegetables, herbs, and spices are basic needs to people. the markets are

growing.

 potential for growth by utilizing social media marketing in digital age and via food

delivery apps/technology

 market demands are high. market supplies are low.

 products of ready to harvest fruits, vegetables are new to the market

THREATHS

 giant emerging competitors

 rising cost of farming especially producing products

  giant competitors have control of supply and distribution to the market

PESTLE

(POLICITAL, ECONOMIC, SOCIAL, TECHNOLOGICAL, LEGAL &

ENVIRONMENTAL)

 POLITICAL

 GOVERNMENT POLICY IN CANADA

 CURRENT TAXATION POLICY IN BRITISH COLUMBIA

 ECONOMIC

 FARMLAND/AREA PRICES ARE GETTING HIGHER EACH YEAR IN

BRITISH COLUMBIA

 INFLATION RATE DUE TO WARS (DOMINO EFFECTS OF EXPENSIVE

OILS)

 ECONOMIC GROWTH IN BRITISH COLUMBIA ESPECIALLY

VANCOUVER

 SPEICIFIC TAXATION POLICIES AND TRENDS IN CANADA

 LABOUR COST IN FARM IN BRITISH COLUMBIA

 SOCIAL

 LIFESTYLE ATTITUDES OF CONSUMERS ESPECIALLY CANADIANS

AND IMMIGRANTS

 HEALTH CONSCIOUNESS OF CONSUMERS IN CANADA

 CONSUMER BUYER PATTERNS OF CANADIANS

 LAW CHANGES IN AFFECTING SOCIAL FACTORS IN BRITISH

COLUMBIA
 TECHNOLOGICAL

 LEVEL OF INNOVATION OF PRODUCING PRODUCTS ESPECIALLY IN

FARMING IN BC

 TECHNOLOGICAL CHANGE

 THE WAYS IN WHICH CONSUMERS MAKES PURCHASE

 LEGAL

 CONSUMER SAFETY

 CHANGES IN CANADIANS LAW

 ENVIRONMENTAL LEGISTLATION IN BRITISH COLUMBIA

 ENVIRONMENTAL

 WEATHER CLIMATE CHANGE

 ENVIRONMENTAL POLICIES IN BRITISH COLUMBIA

 SUSTAINABILITY

 ATTITUDE TO THE ENVIRONMENT FROM THE GOVERNMENT MEDIA

AND CONSUMERS
 REFERENCES

Buchko, M. (2022, January). Fruit & Vegetable Wholesaling in Canada. CANADA INDUSTRY

(NAICS) REPORT 41315CA / WHOLESALE TRADE IN CANADA, 17-20. Retrieved

from https://my.ibisworld.com/ca/en/industry/41315ca/competitive-landscape

Kanda, S. (2021). egetable Farming in Canada. CANADA INDUSTRY (NAICS).

Statistics Canada. 2022. (table). Census Profile. 2021 Census of Population. Statistics

Canada Catalogue no. 98-316-X2021001. Ottawa. Released July 13, 2022.

https://www12.statcan.gc.ca/census-recensement/2021/dp-pd/prof/index.cfm?Lang=E (accessed

August 8, 2022).

Wunsch, N.-G. (2020). Vegetarianism and veganism in Canada - statistics and facts. Food &

Nutrition, 1-2. Retrieved from

https://www-statista-com.eu1.proxy.openathens.net/topics/3262/vegan-vegetarian-diets-

in-canada/#dossierContents__outerWrapper