My Assignment Help

CIM Product and Service Development Aspect of Leon Restaurant Assessment Answer

`CIM Level 6 Diploma in Professional Marketing/CIM Level 6 Diploma in Professional Digital Marketing

Marketing & Digital Strategy (2210)

As Marketing Manager, you have been asked by the Senior Management Team (SMT) to create a 3-year marketing plan that will support the organisation to meet its objectives for growth or sustain its current market position.
Theme 1: Market Penetration

The SMT has asked you to take responsibility for delivering a strategic marketing plan with the objective of creating growth or sustaining existing revenue through more effective market penetration.

You are expected to begin with an in-depth audit of the organisation, which should critically evaluate the current situation. Following on from this, and using the outcomes of the audit, you are to prepare a strategic marketing plan, with the aim of achieving the
objective for your chosen organisation.

Finally, you are required to justify the content of your plan in the context of your
organisation’s goals, its market sector and current situation, and relevant theoretical
frameworks and concepts.
Theme 2: Market Development

The SMT has asked you to take responsibility for delivering a strategic marketing plan with the objective of creating growth or sustaining existing revenue through market development.

You are expected to begin with an in-depth audit of the organisation, which should critically evaluate the current situation. Following on from this, and using the outcomes of the audit, you are to prepare a strategic marketing plan, with the aim of achieving the
objective for your chosen organisation.

Finally, you are required to justify the content of your plan in the context of your
organisation’s goals, its market sector and current situation, and relevant theoretical
frameworks and concepts.
Theme 3: Product/Service Development

The SMT has asked you to take responsibility for delivering a strategic marketing plan with the objective of creating growth or sustaining existing revenue through product/service development.

You are expected to begin with an in-depth audit of the organisation, which should critically evaluate the current situation. Following on from this, and using the outcomes of the audit, you are to prepare a strategic marketing plan, with the aim of achieving the
objective for your chosen organisation.

Finally, you are required to justify the content of your plan in the context of your
organisation’s goals, its market sector and current situation, and relevant theoretical
frameworks and concepts.
Theme 4: Diversification

The SMT has asked you to take responsibility for delivering a strategic marketing plan with the objective of creating growth or sustaining existing revenue the through diversification.

You are expected to begin with an in-depth audit of the organisation, which should critically evaluate the current situation. Following on from this, and using the outcomes of the audit, you are to prepare a strategic marketing plan, with the aim of achieving the
objective for your chosen organisation.

Finally, you are required to justify the content of your plan in the context of your
organisation’s goals, its market sector and current situation, and relevant theoretical
frameworks and concepts.
Key things to remember once you have made your choice of organisation and theme
  • Although this is a practitioner-based assignment, the use of key concepts and theories to support your response is a key part of building your argument. Relevant theory
should be used, but where there are no ‘preferred theories’ given within the indicative content, all are acceptable if they are relevant.

  • Once you have chosen your theme, all tasks and sub-tasks must be applied to that theme.

  • All sub-tasks should be applied to your chosen organisation, unless otherwise stated.

  • Please ensure that you are familiar with the grade descriptors, contained within this assignment, as they provide details of what the examiner is expecting for each task.

  • Please note assignments can only be accepted for marking with a valid assessment booking.

Task 1 – Marketing Plan

Learning Outcomes covered in Task 1:

LO1, LO2, LO3, LO4, LO5, LO6

Please refer to the module specification for Learning Outcome details.

Situation Analysis, Planning, Implementation and Control
In line with the theme you have selected for this assignment, you are required to carry out the following.

  1. Provide a background to your chosen organisation, including:
  • organisation name
  • organisation information – to include type of organisation, size of organisation, range of products and services, customer base and main competitors
  • stakeholders – summary of the organisation’s key internal and external stakeholders
  • key customer segment – an overview of the selected key customer segment for your plan
  • theme chosen and rationale for choice.(5 marks)
Marketing Plan
For your own organisation, or an organisation of your choice, you have been asked to produce a 3-year marketing plan that will lead to improved growth. Your marketing plan could follow a planning framework of your choice; however, it should cover the following elements, and should be written to meet the requirements of the chosen theme:

  1. a strategic audit of where the organisation is now, using relevant models and frameworks to audit the current situation

(C)the marketing objectives which the organisation wants to achieve

(d)the strategic options to achieve these goals (including segmentation, targeting and positioning), and a supporting tactical mix

details of how the organisation will implement the chosen strategy

AC5.1, AC5.2



Executive Summary

Development of organizational products and services is one of the critical processes for all the business to sustain the market competition. The development of products is the prime source of the very existence of an organization. This report has discussed the marketing plan to develop the products of Leon restaurant, a UK based fast food centre. The objective of this report is to understand the key circumstances faced by the organization while developing its product. Additionally, the report will also discuss the purposes, goal realization options and strategies and means to monitor the same, respectively.

The online and offline tactical marketing mix for the new product has been justified based on the ability to meet the customer demands through considering the parameters of customer solution, customer costs, convenience in terms of product availability and customer feedback. The overall cost and time required, along with resource utilisation for conducting the marketing plan, have been evaluated. Measurement of organisational metrics based on 30 days has been conducted along with demonstrating the process of performance improvement.


The existential core of a fast food joint is always is to value the consumer needs primarily. As taste and preference is the major concern for the consumers of fast food hence the development of tasty and healthy food is essential for an organization (Cooper,2019). Product and service development is one of the vital yet complex most tasks for an organization as it requires a wide range of market research and screening before the implementation of the strategies. This report will undertake the product and service development aspect of Leon restaurant, a fast-food chain located in the United Kingdom. The announcement is made to strategic audit the current situation of the company along with determining its objectives, goals, and process to achieve the same utilizing strategic processes.

Based on the marketing plan the issues that can be arrived in different sections of the organization will be represented. These issues and mitigation of these issues can justify the organizational choice of strategy, objectives determination and ensuring the segmentation and targeting policies. In this regard, continuous improvement plan will be determined to improve the situation. 

Task 1-Marketing Plan

Situation Analysis, Planning, Implementation and Control

a) Organizational Background

Name of the organization -Leon restaurant 

Organizational information- Leon restaurants situated in the United Kingdom and has been established back in 2004. The company majorly is known for fast foods but is also into developing packaged foods such as Vegan Mayonnaise. The products of the company are popular not only for taste concerns but also for health aspects. Leon restaurant is currently operating through 70 current locations throughout the UK, US, Netherlands, Spain, Ireland and Norway.  Alone in the UK, the restaurant has nearly 54 outlets. The popularity of the brand is enormous thus has a wide range of consumer base of all age group. Some of the biggest rivals of Leon restaurants are Mendocino Farms, Ted's, Bryon, B.DOOD, and Haché Burger Connoisseurs (Leon, 2020).  

Stakeholders -The owners of the organizations are Chef Allegra McEvedy, John Vincent and Henry Dimbleby constitutes to be the prime stakes of the company. Additionally, the workforce and the suppliers are also a part of internal stakeholders. On the other hand, the consumers and environment, governments and community constitute the external stakeholders (Mu et al., 2017)

Consumer segments- This report will discuss the developmental strategies of Vegan mayonnaise. Thus, the critical consumers are the group of people who have a busy schedule and seeks foods can be prepared in less time. The product also considers the children as a critical class of buyers in respect of taste need. The product is vegan and healthy as claimed by the company, thus is also targeted to the vegan and health-conscious group (Hart, 2016)

The theme is chosen and its rationale- This report will be based on product and service development theme. Leon restaurant has been into the fast-food production sector, and this is the first time the company is developing groceries. Thus, the development of the same will have the impact of relevant factors such as market trend, research, cost, taste, and preference. Analysis over the same will adequately disclose organizational efficiency (Leon, 2020).

Marketing Plan

b) The Strategic Marketing Audit

The Leon restaurant in the current business phase has nearly 24.5% hikes in its overall sales as of 2018. By 2019 the company has made 64% growth in sales of vegetarian products and a 55% rise in vegan products. The company has gained comprehensive value in the market considering the sustainable methods of production and consumption, thus gaining a competitive edge in the current market, respectively. With the increasing concern of health-conscious foods, targeting the very need, the company has developed the vegan mayonnaise. This product not only satisfies the health and taste of the consumers but also is an environmentally sustainable measure, thus broadening the consumer base (Genglerand Mulvey, 2017).

Situational Analysis: TOWS Analysis of Leon Restaurant

The TOWS analysis is an extension of the conventional SWOT analysis that helps to connect the internal factors of the organization with its external factors and thus assisting in the strategic development process (Gürel and Tat, 2017). This strategic planning tool also consist of four major segments where the internal strengths and weaknesses of the company are used to maximize external opportunities and minimize the external threats.

External Opportunities (O)
  1. Capable of catering to more customer segments by promoting Vegan Mayonnaise and other vegan products through digital media.
  2. Promoting the restaurant as a healthy fast food joint to increase the loyal customer base.
  3. Gaining competitive advantage over rivals through environmentally sustainable business model.
External Threats (T)
  1. Competition from other rival companies due to advanced digital infrastructure.
  2. Poor customer relationship due to lack of considering customer feedback.
  3. Very few suppliers of raw materials needed for vegan products which makes the pricing high.
Internal Strengths (S)
  1. Develops healthy foods like Vegan Mayonnaise for health-conscious consumers.
  2. A large and loyal customer base due to sell of vegan and vegetarian products.
  3. Positive brand image for implementing environmentally sustainable business operations (Ravanavar and Charantimath,2012).
Maxi-Maxi StrategyMaxi-Mini Strategy
Internal Weaknesses (W)
  1. Limited digital infrastructure and capability for reaching out to more customer segments.
  2. Not enough vegan food preferences for the customers.
  3. Inefficient dining services due to untrained staff members.
Mini-Maxi StrategyMini-Mini Strategy

Table 1: TOWS analysis

Source: Created by author

MACRO Environment Analysis: PESTEEL Analysis

The PESTEEL is quite similar to the conventional PESTLE macro environment analysis with the addition of ethical factors as a business success determinant. This tool has been used for the macro environment analysis of Leon Restaurant

Political: The political factors of UK determine the tax reforms and health and safety measures for the food industry which is applicable to the fast food sector as well. As the public health policies are trying to reduce the sodium and sugar content in processed food, most fast food joints are opting for other healthier options to attract customers in the UK (Rama et al., 2013). Leon restaurant can utilize these political factors in their favor and in context to the chosen theme introduce new vegan products in the existing market.

Economic: Increase in inflation rate and consumer disposable income are the primary economic factors that impact the fast food sector. In the UK, the inflation rates are minimal which helps Leon restaurant to acquire ingredients at low prices and they are able to attract customers through cheaper menu pricing. Also, the consumer disposable income in the UK is quite substantial and hence people spend a lot of time with their families and friends in the fast food joints.

Social: As the social awareness about healthy and organic food is quite prevalent in the UK, the fast food sector has been hit badly and most customers are looking for healthier options (Zhao and Dou, 2019). Leon restaurant has taken advantage of social lifestyle in the UK by promoting their Vegan Mayonnaise and other vegan products to such health-conscious customers. In addition to this, the fast food joint is able to cater to the requirements of customers who prefer junk food and carbonated drinks through their conventional fast food menu.

Technological: Technological advancements in the nation also impact the fast food sector and helps run the business operations more effectively. For example, using CCTV cameras help in making staff management more effective while digital software can replace the manual accounts register. Lean restaurant is missing out some of these technological advancements and are also unable to builder customer relationship by maintain a digital customer feedback forum.

Environmental: Maintaining an appropriate food waste management policy that recycles used materials helps the fast food sector thrive in a competitive market. The lean supply chain and business model used by Leon restaurant has helped minimize their waste production while also ensuring environmental sustainability (Nag, Han and Yao, 2014).

Ethical: When conducting a food business, it is necessary to maintain ethical boundaries as well for increasing overall business performances. Catering to the basic needs of staff members and offering them medical coverage acts as a reward and also motivates them for performing more efficiently. The Leon Restaurant also has a strict ethical policy to not misbehave with customers or offer them stale food.

Legal: The regulations passed by the legal and local bodies of UK has a direct impact on Leon restaurant as well. Quality check, hygiene conditions and staff performance are regularly done by the UK authorities and Leon restaurant has been able to meet the standard benchmarks in all these areas.

MICRO Environment Analysis: Porter’s 5 Forces

The five major competitive forces in the micro environment of a business organization can be identified and analyzed with this model while determining its key strengths and weaknesses. Based on this analysis, Leon restaurant can develop their corporate strategy and ensure its long-term profitability.

Competition in the Industry:Some of the biggest rivals of Leon restaurants are Mendocino Farms, Ted's, Bryon, B.DOOD, and Haché Burger Connoisseurs. Despite such intense competition from such big fast food brands, Leon restaurant is able to maintain their competitive advantage as they offer other healthy food alternatives like vegan and vegetarian products. For this reason, the rivalry from competitors is somewhat moderate for Leon restaurant.

Potential of New Entrants: The fast food sector in the UK is one of the most booming business areas as a lot of people with hectic work schedule as well as children prefer to eat in fast food joints rather than conventional meals. This excellent market opportunity attracts a lot of new entrants who can start-up their own business venture. Also, the fast food sector does not require a lot of capital as companies can set up their own mobile truck joints and sell the conventional fast foods. However, Leon restaurant has started developing vegan products like the Vegan Mayonnaise which the other new entrants cannot easily replicate. Due to the limited government regulation, low capital requirement and identical products, the threat of new entrants is still quite high for Leon restaurant.

Power of Suppliers: Although there are sufficient number of suppliers available in UK fast food sector, the ingredients of vegan and vegetarian foods can only be acquired from a handful of suppliers which the company need to develop their vegan products (TOWS Analysis, 2020). Also, the organic food for the healthy food available in Leon restaurant are scarce which offer the bargaining power to the suppliers making it quite high for the restaurant.

Power of Consumers: As for the consumers, most working people and children in the UK prefer eating junk food which they can acquire from any fast food joint available in the country. However, the health-conscious customer segment has only a few options available to get healthy vegan and organic food along with their fast food requirements. For this reason, Leon restaurant acts as a major source of such food and was able to build a loyal customer base. This in turn, does not provide any bargaining power to the customers and hence is low for the restaurant.

Threat of Substitute Products: As mentioned earlier, the development of the Vegan Mayonnaise by Leon restaurant along with other vegan and vegetarian products is quite unique in the fast food sector. Although the conventional fast food items can be easily acquired from any fast food joint in the country, the healthy organic products offered by Leon restaurant is not accessible so freely in the fast food sector of the UK and hence, the threat of substitute products is minimal for the company.

Internal Environment Analysis: Marketing Information System

Business organizations often use analytical tools for collecting, analyzing, storing and disseminating relevant market information in a systematic manner that helps the company marketers taken informed decisions regarding various marketing operation. The market information can be collected from both internal and external sources and being a dynamic process should be provided to the marketers consistently (Novikova, 2015). Based on the analytic results, the marketers are able to take informed and efficient decisions regarding the various marketing operations like pricing, packaging, product development, media, promotion and distribution. The various components of marketing information system in context to Leon restaurant and the chosen theme has been discussed below.

Internal Records: As Leon restaurant is focusing on launching new products in the existing UK market, the information from internal records like sales data, customer and product database as well as financial and operation data have been collected (Business Jargons, 2020). The current sales data of the fast food joint indicate that the current business phase has nearly 24.5% hikes in its overall sales as of 2018. By 2019 the company has made 64% growth in sales of vegetarian products and a 55% rise in vegan products. The customer database of the company reveals that the company has gained comprehensive value in the market considering the sustainable methods of production and consumption, thus gaining a competitive edge in the current market. By consulting the product database, the company can develop other vegan products as well and modify the pricing and features to increase their sales.

Marketing Intelligence System: This system offers current information regarding the market trends and other external marketing environment factors (Ashmarina and Zotova, 2016). The rising awareness about healthy and organic food instead of junk food has resulted in a lot of customers shifting from conventional fast food to vegan and vegetarian menus. Leon restaurant is currently taking advantage of their newly developed Vegan Mayonnaise and is planning on launching other similar vegan products. However, the company also need to motivate their dealers and distributors as well by providing the relevant information of customers and competitors.

Marketing Decision Support System: The company currently does not have digital infrastructure to support the various marketing analytical softwares that help in analyzing the data for better decision making. However, for reducing the manual effort of the marketers, the company needs to implement such decision support system through digital transformation.

Marketing Research: This is the collection of information from both primary and secondary data sources and mitigate existing marketing problems in a systematic manner (Burns, Bush and Sinha, 2014). Leon restaurant trying to launch new products in the existing UK fast food market, it is necessary for them to gather first hand data from customers about their preference for healthy and organic vegan food. This can be further reinforced by information gathered from secondary sources like journals and articles regarding healthy food choices of UK customers. This information forms the core of the marketing information system and helps the company make the informed decisions about their product and service development.

Digital Audit: 5Ds of Digital Marketing

As mentioned earlier, Leon restaurant currently lacks the sufficient digital infrastructure to promote their new products and services through a full-fledged digital marketing strategy. However, conducting the digital audit would help identify the areas of digital marketing that company is currently capable and the areas it needs to implement through their marketing plan.

Digital Devices: The interconnection of customers with the brands with the help of devices like mobile apps or company websites helps them better experience the customer services offered by the organization (THE 5DS OF DIGITAL MARKETING, 2020). Leon restaurant currently lacks the means of interacting with the target audience and consider their feedback and demands. However, the company’s official website is used for promoting their Vegan Mayonnaise and other upcoming vegan products which serves some minimal digital marketing purposes.

Digital Platforms:The company currently does not use social media platforms to promote their new products and hence unable to cater to a wider customer segment. For launching the new products and services, the company needs to utilize the various online digital social platforms to get hold of the existing market.

Digital Media: This is one similar area that the company is currently not relying on and still utilizes their offline retailing to capture the target customer segments.

Digital Data:The ERP system of the company has some control over the digital data like customer profiles which help in analyzing them to determine the consumer purchase behavior and market trend. However, the company should try to use more advanced analytics like use of Big Data to ensure market popularity of their new products and services.

Digital Technology: This area of digital capability is yet to be explored by the company and Leon restaurant should try to develop interactive experiences through smartphone apps and websites for enhancing the customer services.

Product development model 

Opportunity evaluation- To develop the product consideration of the company was majorly on the current need of the consumer, and it is majorly environmentally sensitive. Leon determined the unfulfilled need of the buyers, as all the rivals were majorly into animal products. Determining the same, the company initiated a plant-based product.  

Idea generation – The creative part of vegan mayonnaise development was to target both the health and taste factors of the buyers. Hence, the company innovated for environmentally safe, suiting the health such as eliminating cholesterol, causing ingredients and others were a significant consideration (Klastorin, Mamani, and Zhou,2016). 

Product positioning- The company in its advertisements features the products as vegan. Additionally, the brand and packaging also state 'vegan' along with mayonnaise thus is positioned in the mind of the buyers the factor of saving the environment. The promotion of the vegan concept is the prime positioning strategy of the company for this product.

Feasibility- The growth feasibility of the products is high as the number of substitutes is fewer whiles the cost of production is needed to develop new strategies. Channelizing the product into the market is also feasible due to the advantage of brand image (Norman et al., 2018). 

Product development model

Figure 1: Product development model 

(Source:Lee et al., 2016)

Market research- The development of the product has a massive scope in the current market needs, and due to the brand image of Leon, the product has a competitive edge. Yet with time, the number to substitutes will increase, leading to the need for consistent product development.

Financial evaluation- The vegan section of Leon's products has made a considerable rise in the sales, i.e. 55% approximately in the year 2019 compared to 2018. Vegan mayonnaise has been launched in 2020, and considering the past trends of the company, the product has excellent financial leverage (Lee et al., 2016).

Validation- Considering the consumers' feedback for the given product, the results are favourable to date majorly. Yet the overall review portrays a mixed picture.

Implementation- The association with the supermarkets and online e-commerce platform is the supply chain of Leon's product other than its outlets. The vendors of the products are majorly plant-based dealers, and the process of developing the product is absolute cruelty-free, thus serving environmental sustainability (Flores et al., 2017).

c) Marketing objectives

SMART Corporate Objectives

FinancialThe pricing of the new vegan products launched by the organization should align with the price the customers are willing to pay.The pricing strategy should be based on the pricing of current products as well as the price sensitivity of the customers (MacLeod,2012).As long as the company is able to offer healthy and organic vegan products cheaper than other rival companies, the company can establish market demand.The company should maintain a profit margin to maintain long-term market sustainability.It should be done within 2-3 months.
StrategicThe health-consciouscustomers in the UK should be targeted with the new vegan products.The increase in sales of vegan mayonnaise as compared to other junk food would ensure the success of the strategic objective.As vegan and vegetarian foods are used alternatively with organic and healthy food, it would help the company achieve competitive advantage.The company should keep focus on both conventional junk food and new vegan products to cater to all customer segments.This can be achieved in 2-3 months.

Table 2: SMART objectives

Source: Created by author

The other major objectives of Leon restaurant are

  • The company should try to acquire other small fast food joints that might be developing alternative vegan products and might cause market rivalry.
  • Leon restaurant needs to convert some of their business resources for the development of vegan products in order to cater to the demands of health-conscious customers.
  • The company needs to retain their primary focus on conventional junk food to maintain the major market share.
  • The company should adopt a lean business model to reduce waste while also implementing environmentally friendly supply chain operations.
  • It is necessary to implement digital technologies for marketing and promotional purposes and ensure success of the newly launched vegan products.
  • The company needs a complete digital transformation for better data analytics, efficiency of staff members and reach out to more customers through social platforms.
  • Leon restaurant is planning on integrating all of its marketing activities under one central operation to ensure effective promotional measures.

External and Internal Contexts of the Organization

As mentioned earlier, the company focusing on product and service development theme, should try to maximize the external opportunities and minimize the external threats through their internal strengths. Also, they should minimize the internal weaknesses by taking advantage of their external opportunities and avoid any external threat as well.

Mission/ Vision Statements:

  • The company’s mission is to cater to the needs and demands of the health-conscious UK customers through the development healthy and organic vegan products.
  • The vision of Leon restaurant is to establish a healthy lifestyle-oriented customer base in the UK who prefer healthy food along with the conventional junk foods.
  • Competitive edge– The brand is developed with the idea of sustainable production and consumption. The marketing process of the same has focused on the ‘Vegan’ aspect of primary importance. In this way, the company seeks to gain an environmentally sensitive consumer base. It can enhance the market share by 20% in 3 years (Cooper,2016). 
  • Price concerns – compare to all other similar range of available products the pricing of Vegan Mayonnaise by Leon is determined based on the price sensitivity of the consumers and hence on both the offline and online platforms the product price seems to lead the market share (Quaye-Foli,2019).
  • Advertising – The company seeks to promote the product targeting the absolute needs that have not been met yet. Serving both health and taste through a single product is the core promotional strategy of the company to gain consumers of all segments. Right advertisement can reach 15% more target people in 3 years. 
  • Targeting the market- Despite broad reach, the company has not been able to present all over the glove physically. Hence the company seeks to use an online platform to massively available in each major part of the world. Simultaneously the company also aims to minimize the cost of marking and hence is a significant objective (Vegan Food and Living, 2019).

d) Strategic options to achieve the goals

Market segmentation- The product of the company is specific to both the needs of the consumer and the environment. Thus, to realize the commercial goals though the same the market been targeted is to be segmented based on people between the age group of 19-40 years and health-conscious group (Kim, Shin and Min 2016). 

Targeting ideal consumers- The development of the product needs to consider the perfect group of buyers for the same. For the vegan mayonnaise produced by Leon restaurants, young adults over 18 years, health-conscious people and consumers with a busy schedule are the prime set of the targeted market. On the second notion, the consideration of the economic class of the buyers is also essential while determining the targeted group (Van der Borgh and Schepers,2018). 

Product positioning- The product is required to be positioned among the environmentally sensitive buyer's mind. Thus brand advertising and promotion utilizing social media to reach consumers of wide-area is an ideal consideration for the company. Additionally, the product is to be positioned among the potential buyers through the channels of Sainsbury (Spyropoulou et al., 2018). 

Tactical mix 

Product Price Place Promotion 

Develop quality 

Health features 


Consumer sensitive strategy 

Offline measures for physical stores and the local market.

Online promotion for a comprehensive global market

Social media marketing 

Introductory offers at the outlets 

Table 3: Tactical mix

Source: Created by author

e) Strategy implementation process

The company can use social media marketing to position the product among a wide range of consumer. This will allow the company to cut down the marketing and advertising cost. Traditionally, the introduction of the product is possible through the outlets of Leon and other distribution partners. Providing introductory samples at the outlets with each transaction is a suitable strategy to allow the consumer not only to try the product but also to provide reviews for further improvements. The production of the product must seek to minimize the cost of production to eliminate the rising cost of the final products. The sales of the product through online platforms such as Amazon, eBay and others are the needful processes to gain wide consumers. The online platform also has feedback features visible to all, and hence the company can remain alert to learn positive reviews only (Grant,2016).

f) Organizational metrics to measure performances

  • Global sales review on online platforms- Online software and feedback platforms are well competent in analyzing the performance of the product in the international market.
  • Traditional sales reviews- sales made through physical outlets can be checked by considering the total volumes been sold. Measuring the sale-volume graph will portray the organization its very performance regarding the chosen product.
  • Cost input – Analysis of the cost involved with each set of production been made over time is ideal most metric Leon must use to monitor the subtle changes in the production cost. 
  • ROI- The benefit realized must be more than the efforts delivered to determine positive growth. A rise in profit and value is also to be considered to measure the performance of the product (Leeand Day,2019). 

Task 2- Justification Report

a) Identification of the key issues for each marketing steps

Certain issues are associated with the marketing process of newly developed product. In this case, the newly developed product from the end of Leon is coined with
Vegan Mayonnaise. This product has been placed in the market to the target consumers with the aid of Sainsbury retail and grocery products unit. Thus, improper appeal generation through the product can hamper the brand image of Leon Restaurant. If the product is not appealing and people not get attracted towards it then Sainsbury can terminate the proposition of selling the vegan Mayonnaise product of the organization. Thus in this way, the opportunity of using the 
selling agent or distribution aspect of the organization can be hampered (McDonald, 2016). 

The market development and acceptance of the product will be started from local market acceptance. Thus, for the Leone Restaurant, the organization has a chance to ensure the acceptance of the product among the people through sample test in the restaurant. If negative feedback has been created from the end of consumers on the sandwich with Vegan Mayonnaise then Leonhas to drop the idea of product developmentin the initial stage(Kim, Shin and Min,2016). 

Another important concern is that Leon is launching the Vegan Mayonnaise product because the market trend is supporting the health conscious products. The target audience for the organization is the health-centered people.Thus, a risk is always present in the market that the choice of the people and trend of the market can be changed. In this regard, the product development and the market campaign can be failure to generate the impact. Generation of the people involvement is the major concern for marketing of new product. Advertisement through online and offline media are vital and lack of appeal creation can hamper the product related campaigning. If the target people are reluctant towards the product over social media conversation and sharing the product features then less acceptance will be developed. In this way, Leon can face trouble with the marketing activities of new product BI (Lee et al., 2016). 

Proper determination of ROI is essential. Improper data development on ROI can hamper the initiative of Leon restaurant. Furthermore, it can restrict the organization to achieve the concerned target and objectives with the new product. Lack in the campaign building activities can hamper the market development and initiatives with the Vegan Mayonnaise product. Thus, the investment in the market can be failure for the organization (McDonaldand Wilson,2016). 

b) Justification of the strategic choice

Considering the strategic choice of the organization in terms of objectives and STP that have been decided from the end of Leon Restaurant, the restaurant has ensured their brand image on the country and it has helped the organization to open several chains. In this regard, it has been found that the Vegan Mayonnaise product has been designed to attract major people who are health conscious. The target population of Leon for this product has been developed considering the health consciousness of people. The image that has been created with the healthy fast food to the people, the restaurant is trying to utilize it for selling its product for market expansion. 

In this way, the positioning and segmentation has been justified for Leon Restaurant. Competitive edge can be developed over the competitors of the market, because the other restaurants are not selling any health conscious products. The pricing has been kept under the budget of the people. Utilization of Sainsbury to sell as a marketing medium can enhance the market share by 20% in 3 years. As the consumer base is already concerned with the products and initiatives of the Leon Restaurant, the organization have to provide less effort towards the advertising. Making the people aware about the product based on social media posts and digital advertisement over the website can ensure generation of product awareness (McDonaldand Wilson,2016). 

The positioning of the concerned product has been ensured through involving Sainsbury to highlight the product in front of people. Majority of the people can be made aware of the product based on the restaurant itself. Others can get the information from the outlets of Sainsbury(Grant,2016). 

c) Justification of the tactical marketing mix

Leon Restaurant is dependent on both online and offline marketing promotional process for advertising the newly launched vegan mayonnaise. The justification of both the online and offline tactics is discussed herewith:

Online Tactics

The company’s plan of promoting the product trough online platform is fully justified considering the recent growth of the online purchasing process globally. Through using the online medium, especially the social media platforms, Leon Restaurant have the potentiality to target and reach a wider customer base and can even connect with the customers directly for sales promotion and product briefing. Through using the online tactical marketing mix, it becomes possible to provide solutions to the customers along with intimating the product price and promote the product accordingly (Dolnicar, Grün and Leisch, 2018). However, considering the new vegan mayonnaise developed by Leon Restaurant, it creates an opportunity to create a substitute of the traditional egg-based mayonnaise and at the same time promote the product with the possibilities of shipping the product to the desired location of the customers. In this regard, the availability of online purchasing system and customer interacting mechanism through the social media, Leon restaurant is expected to fulfill the customer’s interest by making the product available at varied online shopping websites (McDonald, 2016).

Offline Tactics

The company’s strategy to promote the new product in the traditional market by making the “Leon the original Mayo” across various retailing outlets exemplifies justified offline tactics. The product pricing being made keeping in mind the vast customer demographics, thus the pricing of £2.5 is well suited (, 2020). The increasing preference of consuming healthy food and at the same time Leon’s brand value of maintaining hygiene and producing naturally vegetarian products are surely going to create customer interest. Product availability and consumer sensitive pricing strategy followed by introductory offers at the outlets is surely going to create customer attraction. Thus, it is stated that the offline tactical marketing mix is also justified for the new product. Availability of the new product at the retail stores can help in providing alternative solutions to the customers who prefer vegan mayonnaise and that too in a budget. Making the product available in huge quantity will enable convenience of the customers through fulfilling the consumer demands. The sales support staffs can provide assistance to the customers in purchasing the product. Thus, the interest of the customers can be maintained (Lee et al., 2016). 

d) Gantt Chart for Budget and Resource Utilization

Resources UtilizedBudget Required (Annual)
Involvement of the marketing research analyst and expenses for conducting research£1500
Internal accountants£2000
Marketing manager and external content developing agent£3000
Internal Marketing Manager and Management TeamNA
Marketing Team and Social media manager£4500
Internal Marketing Team£5000
Manufacturing team£3500
Internal marketing Team£2500
Supply chain and Production Team£1000


Table 4: Budget

Source: Created by author

Gantt chart

Activities0-6 Months
(April –Sept, 20)
7-12 Months
13-18 Months (Apr-Sept,21)19-24 Months (Oct,21-Mar,22)25-30 Months (Apr-Sept, 22)30-36 Months (Oct,22-Mar, 23)
Conducting Market Research

Financial evaluation

Designing promotional and marketing content

Selection of the advertising platforms

Beginning social media (online campaigns) (paid promotions)

Conductance of offline promotion and marketing

Developing product samples

Distributing free samples to retail stores (100 Units)

Vendor selection for supply chain functions

Table 5: Gantt chart

Source: Created by author

e) Measurement of tools and continuous improvement plan

The performance of the new product Vegan Mayonnaise will be measured based on the following parameters after one month of launching the product over the online and offline selling platforms. The measurement tools are:

  • Reviewing sales of the product over online platforms- Making the product available over the online platforms is expected to provide leverage by facilitating sales of product on regular basis. After reviewing the product sales over a period of 30 days, the daily sales rate should be 100 units and the product should receive 3.5 customer reviews out of 5.
  • Offline sales review- The retail section sales should also comprise of 200 units sales during the period of 30 days and the average customer review should be 3.5 out of 5. After initial 30 days, demand of the product is expected to rise by 3%.
  • Cost input- During the first 30 days, the production cost, marketing cost and delivery cost should remain the same and in case of increase in cost, the overall hike should be within 1.5-2% or less(Van der Borgh and Schepers,2018).
  • Return on Investment- The ROI for the product for initial 30 days should be £750 from both online and offline sales. The product should gear profit of at least 5%. 

The performance improvement plan is highlighted in the table below:

ParameterIncrease percentageROITime limit 
Online sales increment12%£30090 Days
Offline sales increment20%£60090 Days
Increase in customer demand30%£97590 Days
ROI 15%£862.590 Days

Table 6: Performance Improvement Plan

Source: Created by author


The audit and analysis of the above product thus consider both the online and offline marketing strategy to introduce and develop the product performance in the market. The baseline of the product i.e. vegan and health aspect is needed continuous modification to beat the competition. Performance of market auditing has helpedin the process to ensure the justification of the approaches in terms of objectives and STP. The brand image of Leon Restaurant is beneficial to enhance the advertisement and the planning of online and offline based marketing of the newly developed Vegan Mayonnaise. The issues with market reach and appeal generation for the target consumers have been highlighted which can be overcome through the use of continuous improvement plan. 

Customer Testimonials