Hot Cheetos Case Study

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One important thing when looking at our price structure was determining the structure or our product. We decided to go 15% Cheeto and 85% bagel. Our reasoning was that this item is a bagel being accented with Hot Cheetos. The Hot Cheetos are meant to add a unique flavor; if we add too much Hot Cheeto flavor it might overpower the bagel. This would be bad because it would alienate the main design of the product thus not applying correctly to our customer group.
The next thing we bad to address was how we would package our product. We decided on the industry standard a plastic tube like bag with a quantity of 6 bagels. When looking at our competitors this was the standard packing they use; also Thomas currently packages their products this …show more content…

To some it may be considered an old fashioned form of advertisement; however, it still remains to have a strong presence with consumers. It strongly encourages consumers to purchase the product, research further the product online, and it does not annoy the consumer to see the ad itself. Flamin Hot Cheetos is placed in magazine ad such as Cosmopolitan, Seventeen, Teen Vogue, and J-14. Thomas’ Bagels markets a different segment of the market focusing more on US Weekly, Food & Family, Food Network Magazine, Bon Apetit, and Martha Stewart Living. The magazines that Thomas’ Flamin Hot Cheeto Bagel will invest in would be targeting both of these market segments. Flamin Hot Cheetos is generated to target to a younger market segment, Generation Z; however, Thomas’ Bagels is focusing on baby boomers and Generation X. Thomas’ Flamin Hot Cheeto Bagel will be able to successfully target a wide variety of market segments by placing their magazine ads in all of these magazines. Lastly, you cannot forget televison. Television is a huge part of baby boomer’s life. On average, baby boomers watch 63% more television than millennials watching shows such as CSI, ER, and Jeopardy. Millennials tend to watch Grey’s Anatomy, The Bachelor, Spongebob, The Simpsons, Family Guy, and The Walking

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