Choose your own adventure
Reflection
Over the course of the week we went on three different field trips to different businesses in San Marcos to learn about how the businesses are run and the products that they sell. We learned about what makes consumers buy certain items and how each business prices and promotes the products. We also compared the different businesses to see how different they are from each other.
For the first field trip, I chose a product category to look into for our field trip to Vons. I chose chips, and decided to look into Doritos specifically. I looked at what consumers want in the product, how it is priced, the placement of the product, as well as how it is being promoted. On the second field trip, I compared Vons and MXN to each other and looked at the difference between how products are purchased and consumed. After the final field trip, I looked at the advantages and disadvantages to opening a business in a food court. Below are my in depth answers to these questions.
We’re going to the store… #1
Product Category: Chips
Product: Doritos
Product
The consumer wants a tasty snack that is quick and easy to consume. They may also want a product that is easy to share with friends. Doritos are very tasty and contain a bunch of chips that can be eaten and shared with different people with ease. The consumer will use it by opening the bag and eaten the chips whenever they feel like they need to have a snack. They can eat it pretty much wherever they are. It has very simple packaging and uses colors that catch the eye such as red for their nacho cheese chips. The main difference it has between it’s competitors is it’s unique taste. Even though there are other nacho cheese chips, none of them taste like doritos.
Price
The value of the product to the buyer is to have a tasty snack to eat. The established price points for products in the area are typically between two and five. I don’t think that customers are too sensitive to price because either way they are still fairly cheap and close in price with other chip brands. They offer a buy two get two free deal on their chips that cost $4.29 normally. This price is slightly more expensive than some of their competitors. The price point that they offer for their larger chip bag products at is very consistent as all of them are sold for $4.29.
Place
Buyers typically look for this product somewhere near the entrance of the market because that’s usually where they are placed. Buyers also tend to look for the products in liquor stores and other places like 7-11. They distribute their product by selling large quantities to stores who then resell them for more money. The product is located on every level of the shelf, from the bottom all the way up to the top. Most of the other competition is located next to them and also take up the shelf from top to bottom. The product is one of the first in the aisle, which is located very close to the entrance of the store.
Promotion
I was first introduced to this product many years ago, probably by seeing someone in my family eating them. The main way that the company promotes and advertises the product is through funny television commercials. The best time to promote doritos would probably be around lunchtime because that’s usually when people like to consume the product. I think that most of the competition uses the same medium of advertising. This probably affects them by not allowing them to overshadow any other chip products because they are all advertising in similar ways.
MXN Expedition #2
1.) How is MXN different than vons?
MXN - MXN is a fast food restaurant that sells a wide variety of mexican food. They also sell different coke brand sodas, as well as some drinks that are made by them. The way it is sold is by you going through the drive through or going up to the counter and ordering it from someone.
Vons - Vons sells groceries that are purchased by people going through different aisle and grabbing what they want to buy. They then take these items up to the cashier who rings the items up.
Analysis - One of the differences between MXN and Vons is that at MXN is that you talk to the cashier first and order your food from them and at Vons you go look for the products you want and then you bring them to the cashier.
2.) How do you choose what product to buy?
MXN - At MXN, you choose what product to buy by looking at the menu and deciding what sounds good to eat.
Vons - At Vons, you choose what product to buy by walking through the aisles and looking on the shelves.
Analysis - At Vons, you typically go into the store knowing what you need to buy. There is a much larger selection of products to choose from at Vons, compared to MXN.
3.) How do you consume product?
MXN - You typically consume a product at MXN by either eating it there on one of the tables, or by taking it to go and eating it somewhere else. The product is already ready to be consumed after you purchase it.
Vons - At Vons, you typically consume the product by taking it home and cooking it. Most of the products aren’t ready to be consumed right after you purchase them.
Analysis - MXN is somewhere where you would go if you want to eat something right away. The food is ready within minutes and can be consumed right away. Vons is somewhere you would go if you want to either stock up on food for the future, or purchase items that you will be making sometime soon.
4.) Layout of each store
MXN - The layout of the store consists of a front counter where you go to order food. On the left is a soda machine where you can refill your soda. To the right is a salsa station. Behind the counter is where the cooks make the food. The rest of the restaurant consists of tables and chairs where you can go and eat the food.
Vons - Vons consists of numerous aisles that contain shelves of products. The front of the store is where all the check-out counters and cashiers are located. There is also usually a deli and a bakery located somewhere on the side of the aisles as well.
Analysis - The layout of MXN is much more constricted and makes it more so that you’re in and out in a pretty short amount of time. At Vons, it is much larger and makes it so that you have to walk across the store to find the stuff you need and pay for it.
We’re going to a bunch of stores… #3
1. What are advantages to operating a business in a food court?
The benefits to operating a business in a food court are that there are other businesses there that draw in a crowd which can lead to other people purchasing something from your business. For example, people might go to the food court to get Rubio’s and end up purchasing a Cold Stone ice cream.
2. What are disadvantages to operating a business in a food court?
Some disadvantages to operating a business in a food court is that there are a lot of other options for people to choose from which can mean very little business for you.
3a. What businesses are in the food court we traveled to today?
The businesses that are in the food court we traveled to today are Rubio’s, Cold Stone, Massachusetts Mike’s, and Capriottis.
3b. What do these businesses have in common?
What these businesses have in common is that they all sell food. They are all also considered fast food restaurants because you usually get the food within a few minutes and are meant for you to be in and out of there in a pretty short amount of time.
3c. How are these businesses different?
These businesses are different because they all sell different types of foods. Rubio’s sells mexican food, Cold Stone sells ice cream, Massachusetts Mike’s sells pizza, and Capriottis sells sandwiches. None of the businesses overlap in what they are selling.
4. Do you think businesses that share a location (like they do in a food court) form strategic alliances?
I don’t think that the businesses really form any strategic alliances because I haven’t really seen any signs of that from any of the businesses. It would probably be a smart idea for them to do that because it would probably benefit them all.
5. Do you think businesses choose specific locations to challenge the competition?
I do think that the businesses choose specific locations to challenge the competition because there are certain locations that could get them way more customers than others. If they see that a certain area is good for what they are selling, then i’m sure that they look for specific locations around that area to sell in.