Brasil Foods - Brf

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Legal Factors: By this field, companies need to be concern about new laws involving raising animals, plant seeds and delivery the product to the market. Any changes in the law about information in their packages, BRF need to act immediately to change their labels and provide the correct information on Nutrition Facts.

SADIA’S STRATEGY

As we can notice before, there is a lot of brands that BRF manage and each brand have many different kinds of categories. To base this assignment we decide to look through one of Sadia’s categories and not through all the categories owned by BRF, because there’s a lot of different field of operation.

Frozen products is the category that we decide to focus as one of the challenges of BRF is to increase these category and also find alternative places to sell BRF’s goods.

Marketing Mix

Product: Sadia have a lot of products from different fields. The Frozen Category Sadia has the major market share and the goods are famous because of their quality and the strength of Sadia’s brand. In this category Sadia have burgers, nuggets, pizza, lasagne and hot pocket (one that is the focus of these task).

Place: As the rest of the BRF’s brands and products, Sadia sells all the categories in three big channels: small retails (small stores, with not recognized brands, neighbourhood stores), big retails (where the BRF’s margin decline but the volume of sales increase substantially. As an example: Carrefour, Walmart, etc.) and Food Services, which provide the BRF’s goods for the stakeholders called: transformers.

These transformers will buy the product and prepare their own meals. Sadia only provide the full product, not the meal. In addition these Food Services clients could be big brands as we recognise easily on the streets (Mc Donald’s, KFC, Burger King and Subway and also can be airlines and hotel companies) or Sadia’s clients can be small restaurants, pubs, hostels etc.

Price: Sadia’s Frozen Products price are most of the time 15% to 20% higher then BRF’s competitors when the sales are in retails. Sadia use these strategy because they have the higher quality of products and a powerful brand.

Although, those Frozen products from Sadia that are sold at retails are 50% lower prices then buying in restaurants, for example. These means that for direct competitors (JBS) Sadia’s charge more and for indirect competitors (restaurants) Sadia’s strategy is to charge less.

Promotion: Sadia’s Frozen Products promotion are always focus in three areas: traditional advertising, point of sale promotion and social medias. The traditional advertising emphasise the company’s launching and emotional touch.

All the promotions on the store (retail) are based on experience, the focus of the ads at store are tasting, category management and sales material. For the social media promotion Sadia uses the same strategy then traditional advertising adding recipes with Sadia’s products.

Current Scenario

The business Market is highly competitive and people don’t have much time to waste. Therefore we can define the current socioeconomic scenario is making people stressful, timeless and multitasks. Using this scenario to base our proposal, people need to save time anywhere and as it happened in United Kingdom with the “take a way” concept.

BRF CHALLENGE

For BRF, one of the biggest challenges now a days is innovation, this is the reason why the company came up with a new and creative idea that is going to change peoples’ life on a daily basis.

BRF is aware of the lifestyle people have today, they know that time is money and that people are tired of having to wait in line in order to have a normal lunch, and because of this BRF create The Warm To Go machine.

Figure 1. The BRF’s “Warm to Go” machine.

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The “BRF to Go” works very easy, first, the customer has to tap the screen to begin, then select the product they want to order, after this, choose to pay either with cash or credit and in just in 33 seconds the customer would get their warm meal.

The products are kept in a freezer, which is built in the machine, that keeps them from going bad. The course the food goes through is quite simple, after the meal is chosen, the products needed pass through a heating process that takes only 33 seconds for the meal to be warmed and ready to go.

BRF thinks that this machine is going to be a huge success, because the To Go machine is meant to be in college residences, offices, train stations, airports and outside certain stores so they may have 24 hour service.

Figure 2. The three steps to make the hot snack.

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SADIA’S NEW STRATEGY

Objectives

The aim of BRF’s strategy is to create a new solution for increase sales through the distribution of his Sadia’s snacks line, selling directly to consumers. The new concept was strongly enhanced by the observation of consumer’s behaviour in Brazil, but mainly in the busy city of São Paulo, where the habit to eat out-of-home and have quick-snacks is increasing among teenagers, young people and mainly workers that rush during their lunch break.

This strong movement conducted them to offer a new food-service solution, meeting its consumer’s needs and enlarging its market through the new distribution channel. With the Hot Pocket Sadia’s “Warm To Go” vending machine, the brand will sell its snacks’ line products in the busiest areas, expecting to lead an overall increase on sales and awareness.

This strategy aims to increase brand awareness by offering a new experience to consumers, what is expected to result in BRF’s overall increase in sales and profit.

Marketing Mix

Products: The warm to go vending machine will have the main products of Sadia’s Hot Pocket available:

- Extreme X-burger

- X-Burger

- X- Bacon

- X- Chicken

- Extreme Cheddar

- Extreme Spicy

- Pizza Calabresa

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