Gardenia Bakeries

EXECUTIVE SUMMARY

In this case study, we will focus about the situation analysis, their target market, creative execution and Integrated Marketing Communication (IMC) tools for their brand of Gardenia Bakeries (KL) Sdn. Bhd. Other than that, this case study focuses on the SWOT analysis that Gardenia had developed over this year. We are going to analyse the target market that are attracted to Gardenia Bakeries rather than other product. We are also going to list all of the creative execution that Gardenia took to make their brand not just only sells bread but be bold and try to produce something that mother's in Malaysia will approved it.

By doing this case study, we can analyse why Gardenia is still the strongest brand that until now become the brand that consumer chooses to buy although there are many highly competitive brand that are starting to run at the same pace as Gardenia.

In year 1969, in East Malaysia, there is a company that founded in Malaysia which is a multinational company that is called Gardenia Food Industries (Gardenia).

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This company was founded by an American man named Horatio Sye Slocumm to start a bakery in East Malaysia, with his 35 years of baking experience and one of America's leading chain of bakeries that is where Gardenia was born. Gardenia now has become a Malaysia leading brands of bread manufacturer after 45 years of hardship it was born. The first loaf of bread was produced in the year 1986. Within four years, Gardenia has becomes the front-runner in the market of bakery with a 99 percent outstanding brand recall rate and 80 percent top-of-mind recall.

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Gardenia has elevated their chains of products along the years and gradually become better along the way. Gardenia has also produces a lot of their baked products to set the par with their customer needs.

SWOT ANALYSIS

STRENGTH

Gardenia is accepted by customer because this brand is the top-bread maker which is a very strong brand name. Gardenia's unwavering efforts to maintain the authenticity of its products have become evidence of its reputation and strong consumer recognition in the regional markets in its ISO 22000:2005 certification, Hazard Analysis Critical Control Point (HACCP) certification, Highly Commended Product Award by Malaysian Institute of Food Technologies (MIFT), and a National Creativity and Innovation Award. The successes of Gardenia have reverberated across the industry even earning support from huge companies like Padi Beras Nasional. Gardenia achieved the Universal Integrated System ISI 2020 certification from the Research Institute of Standards in Islam in 2005. Recently, the bread giant was awarded the Putra Brand Awards by the Association of Accredited Advertising Agents. This award is a special award that is founded upon a common ideology and is greatly given to the government and to key demographic groups. Innovation and innovation are a key area in which Gardenia is able to meet the changing needs of customers. Gardenia can still reach the customer without media attention based on the way in which Gardenia is packaged and the way in which it is made. Through widening the retail sector, Gardenia has expanded its distribution network. Gardenia is the first company to use G-lock to ensure the freshness, smell and flavour of the material. G-lock includes all important information, such as expiration date of the commodity, bread production line and batch number that customers might need. Therefore, the performance and freshness of gardenia come first. These are purely for the quality and freshness of the bread.

WEAKNESSES

Over recent years there have been dramatic changes in the cost of raw materials and fuel. The price pressures, especially for flour and fuel, have increased over the past two years. In particular. Consequently, Gardenia is struggling to adjust costs. Although rises are reduced, the purchasing power of customers remains low. Gardenia should demonstrate to the consumer that not only the delivery costs, but also a large part of their production costs consisting of raw materials, services, labour, utility costs as well as the related costs, reflect the overall expenditures of Gardenia goods. In January 2015, the effect of the drop in petrol prices was incomparable to the jump in raw material costs due to the increase in the exchange rate and wage growth as well as the rise in utility costs as the trend stays as of the previous increase and many more.

OPPORTUNITY

Gardenia is committed to continued creativity in terms of leadership. For this, the organization supports new product growth, implements strict quality assurance measures and deliveries its products in a timely manner through reliable distribution channels. Through continuously improving its product lines, Gardenia continues to stand out from its rivals. This helps Gardenia to regularly send key employees to study at the American Institute of Baking and to other academic organizations by ongoing research and development combined with dedicated teamwork. The Company sends delegates to international trade fairs from time to time. These are opportunities for workers of Gardenia to know about the latest technology and services.

THREAT

The developments are unfortunately threatening to overcome the saturation of the market, as retailers start offering a wider range of products such as the bakery shop or other bread companies. The main threat to Gardenia is instability in economies. Pricing and product demand were affected.

COMPANY PROFILE

Gardenia Bakeries KL Sdn. Bhd is a part of a food listed company,QAF Ltd that also operates Gardenia Singapore, Gardenia Philipines and soon opening in Fujian, China. Gardenia is also an associate with the company of Padi Nasional Berhad. In year 1969, in East Malaysia, there is a company that founded in Malaysia which is a multinational company that is called Gardenia Food Industries (Gardenia). This company was founded by an American man named Horatio Sye Slocumm to start a bakery in East Malaysia, with his 35 years of baking experience and one of America's leading chain of bakeries that is where Gardenia was born. Gardenia now has become a Malaysia leading brands of bread manufacturer after 45 years of hardship it was born. The first loaf of bread was produced in the year 1986. Within four years, Gardenia has becomes the front-runner in the market of bakery with a 99 percent outstanding brand recall rate and 80 percent top-of-mind recall. Gardenia has elevated their chains of products along the years and gradually become better along the way. Gardenia has also produces a lot of their baked products to set the par with their customer needs.

The righteous owner of Gardenia Bakeries KL is Tan Sri Syed Moktar Al-Bukhary. He is one of the richest Bumiputera figure in Malaysia. With association in diversified business areas that includes transportation, property development and many more, he has a net worth of US$2.90 billion according to Forbes and makes him as the 8th richest Malaysian. Gardenia product also has a very distinctive design that every person in Malaysia will automatically recognise it as Gardenia brand. A special Halal Committee is formed in Gardenia, which reviews all facets of the Halal Regulations and ensures that all provisions are adhered to. We also named an impartial Syariah Adviser whom Gardenia may name in' syariah' matters, to provide additional control and safeguard our Halal status.

TARGET MARKET

The Gardenia Bakeries Sdn Bhd target is a platform for consumers and distributors. There is a consumer or home product segment, whereas the retailer, grocery for example, Tesco and convenience shop are included in the market for example, KK Mart. The multiple target markets can suit different consumer groups to ensure maximum gain in the archives. Moreover, Gardenia Bakeries Sdn Bhd has numerous offers to concentrate on each business segment by providing the market with different breads. For example, Gardenia wheat bread is primarily aimed at senior citizens or anyone who wants healthy choices and Gardenia waffles are mainly aimed at teens. Gardenia will have to figure out its target market after it has divided the market according to the section. Both consumer groups have a plan that will help Gardenia to implement different approaches to gain maximum profit at a lower cost for its target markets. Gardenia's advertising approaches include selective marketing and retail marketing. A company could decide to target a number of markets and design separate offers for each by using a differentiated marketing strategy. Through selling different breads, Gardenia relies on its consumer market.

Since their market segmentation, Gardenia Bakeries Sdn Bhd developed its breads to target customers who love the breads they enjoy and the reseller who support them advertise their breads to other people. Gardenia Bakeries is hoping to maximize its profit, by creating new products that can attract additional customers. Instead of what is different, it depends on what consumers have to share. Although the competition is limited but with a large number of customers, it can be recognized in a huge sale. They produced and sold to consumers a selection of breads to allow them more options for their bread choices. The reseller market, which helps them to distribute and sell their breads, is also the market for it. Supermarkets such as Tesco, Giant and coffee-shops as well as convenience stores such as 7-eleven. Customers are able to access and appreciate Gardenia by way of the reseller market. If the esteemed and famous reseller dominates the consumer market quickly, it is therefore automatically marketed to consumers.

CREATIVE EXECUTION

Gardenia has made a good creative execution by introducing a new product that is not related to bread at all but there are taking a new step by producing yellow noodles that can satisfied consumer these days which is called NuMee Gardenia. This is the issue of an easy but nutritious food for each family. Whether time and supplies are not enough or if the hunger cannot be filled, the best solution is always the simplest. Yellow noodle never prevents hunger. It also recalls the happy memory of fried yellow noodles in childhood. A very rare and cherished memory with something as basic as yellow noodles was made. The yellow noodle is now tainted by the belief that it is not good for its bitter taste, alkaline scent, dubious washing and no halal guarantee. One favourite moment, the yellow noodle is overlooked when mothers take care of a healthier choice. NuMee Gardenia is the first pasteurized fresh yellow noodle manufactured by Gardenia in Malaysia. For research and production of these noodles, Gardenia's specialty bread is used. Intense work over 2 years marks the dedication of Gardenia to provide the best for mothers and fans of yellow noodles across the world.

NuMee Gardenia has been pasteurized to eliminate bacteria and pathogens and make it safe, clean and cookable. This system should not require NuMee to be kept in a refrigerator and withstand at room temperature. Both products are high-quality, comprising of rice, sugar, vegetable oil, alkaline water and food grade to guarantee the finest quality and taste for everyone. NUMEE Gardenia has no added coloring. The resultant yellow is a salty water or alkaline water or food reaction from the starch. Better quality in packaging, as NuMee Gardenia has better ingredients wrapped to prevent leakage or contamination

INTERGRATED MARKETING COMMUNICATION (IMC) TOOLS

Advertising is one of the product promotion's most effective methods. Advertising helps companies reach a wider audience as quickly as possible. Newspaper, TV, Radio and Billboards advertisements help users to trust the product and also to inspire them to buy the same and to stay loyal to the brand. Announcements not only increase the sale of a certain product or service, but also raise consumer brand awareness. Marketers should ensure that the right message is delivered at the right time to the right customers. Pay attention to the content of the commercial, after all, every second you pay for it. As for Gardenia, their approach of advertising method is through Television, Radio and Newspaper and also Event. Main instrument that Gardenia mostly used is Radio because no matter where we go there will always an advertisements on Gardenia bread with their trademark song that consists of the American Man name Uncle Slocumm and their famous slogan that everyone knows which is "So Good, you can even eat it on its own".

Gardenia product also has a very distinctive design that every person in Malaysia will automatically recognise it as Gardenia brand. A special Halal Committee is formed in Gardenia, which reviews all facets of the Halal Regulations and ensures that all provisions are adhered to. We also named an impartial Syariah Adviser whom Gardenia may name in' syariah' matters, to provide additional control and safeguard our Halal status. As for their products, Gardenia Original Classic and Gardenia Delicia, customers will surely set their minds in knowing about their flavour and tastes that represent each type.

CONCLUSIONS

In a nutshell, 'Eat Healthy, Stay Healthy'. This motto does not mean that eating healthy does not mean that a person cannot enjoy eating other delicacies and say "goodbye" to all of them such as nasi lemak, mee goreng or even roti canai. With a right thorough plan, we as a consumer can still and always enjoy our favourite dishes as long as we set our mind to eat less heathy meals and consume more healthy meals. We need to always remember to exercise, get enough rest and practice to have a healthy lifestyle in our daily lives. We do not want until our body are infected by various unhealthy diseases that is unavoidable before we can make a change and prevent them from happen.

Gardenia emphasises on their healthy, high quality product and how they maintain their freshness of bread in the customers mind. Gardenia can also create higher sales and attract more opportunity in business these days by developing stronger sections. As we all know that Gardenia breads contain no preservative and no artificial. Customer are happy we Gardenia because this brand provide convenience for them. Gardenia Bakeries also does not abandon the quality on their product and maintain an affordable prices although the cost on raw materials are currently elevating. Lastly, Gardenia make sure that the baked goods that they distribute throughout Malaysia will always stay fresh for the consumer to buy.

Updated: Feb 22, 2021
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Gardenia Bakeries. (2019, Nov 28). Retrieved from https://studymoose.com/gardenia-bakeries-essay

Gardenia Bakeries essay
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