4P's

4P's

1.**Product** Phenu follows a two sided model where they need a pre-determined user base large enough to convince restaurants to become interested in signining up for their service. In other words, Phenu has two customers, and thus must follow two types of business (B2B and B2C). The first of their customers are Internet-users looking for a service that can recommend places to eat. The service for these customers is free. The other customers are paying customers - restaurants who are contracted to get featured on phenu.com. The first customer base is targeted by Phenu as university students who already have established eating habits and preferences. Getting an insight into that will give Phenu an opportunity to target the right types of restaurants. (This should be done both in an anthropological manner--observe where students eat as primary research, and directly by interviewing them and finding other feedback as secondary/tertiary research) -Chris

Phenu.com offers restaurants professional graphic design and printing services along with their listing service. This is part of Phenu`s **market diversification strategy.** The design team is (currently) composed of professional photographer, graphic designer, web designer and printing experts. All the photos (currently) posted on Phenu.com are taken by Phenu’s professional photographer. This saves the company money on paying royalties and provides a one-stop service for restaurants.


 * 2.Price **

Restaurants are charged at $19.99 per month (that seems really cheap...) for designing and maintaining the webpage on Phenu.com. Internet-users are targeted traffic and the company allows them to access to the database for free. As the number of active users increases, the subscription price will increase, according to current company insight to $49.99 per month. (I’ll figure out the details later) This totals to about 600/per year for each restaurant. If restaurants sigh up for design and print work as well, then a **discount** will apply to their listing service. The prices charged for printing and photos depend on dimension and print quality preffered. Generally speaking, a 500 piece menu would cost around $200, including design and printing tasks.This price applied is a **penetrating price** because is lower than the industry average charges. Overall, the price strategy applied is a **sales or aka marketing** oriented.When goals for active users and **brand awareness** achieve higher levels (Phenu will conduct surveys and **marketing research** efforts continually) the pricing strategy might change in order to reflect **pricing differentiation.** Also placement of **banner ads** can be used as additional areas to generate revenue streams.

(I suggest Phenu follow with a secondary fee (e.g. fees per customer who finds a restaurant and makes a reservation, etc THROUGH phenu.com). If we want to incorporate SEO we should charge for these efforts. Assuming this is a realistic option... I haven't checked into that.) - Chris

**3. Promotion**

Phenu`s marketing team invests resources in marketing their activities on campus. Cooperation with student clubs on campus in forms of sponsorship shortens the distance between students and the newly created service. In return for their sponsorship, student clubs place posters campus areas with high frequency traffic and use **word of mouth** to share with fellow students. Phenu can eventually sponsor multiple student organizations as part of their efforts to get exposed to many different cultures. The student groups on the other hand do not take this as a competition point against other student organizations, but as a collaborative effort into promoting diversity on campus. However, due to its limited resources Phenu motivates its student ambassadors by only awarding the “Top Three” as outlined in their program, which means only the three most successful clubs in promoting the company’s service will get the renewed contract the next year.

**Brand awareness** is at the centre of Phenu`s current acctivities. Basically, the plan is to use **publicity** in marketing events, conferences and performances and networking events. These are ongoing efforts as the above mentioned sponsorship of student organizations were already contracted. In terms of future activities, a Night Market will be held in Scarborough during the summer. This event attracts hundreds of people to enjoy the summer night and delicious food every year. Having a booth with big banner and marketing personnel with Phenu.com T-shirt are great way to create **brand awareness**. If sponsorship is available from the contracted restaurant, free food samples will be distributed during the three-day’s event. Fliers and coupons can also be handed out. The events organizer at Phenu offered to do an ignite presentation between the presentation of each restaurant. Also, a luck draw will be another available tactics to draw eyeballs. The operating manager in an interview with a member of this group, Sarah Meng Lu mentioned that they have tested the lucky draw at a Vietnamese Performance. They have successfully collected over 200 people’s contact information (name, phone number and email). On the draw cards, the purpose of the collection should be clearly indicated. Phenu can then use the email addresses to send newsletters/updates/offers to this population, as a part of **permission based email marketing** campaign.

**Buzz marketing** is the most powerful one. In the same Vietnamese show we mentioned before, Phenu.com presented a one-minute commercial video “Phenu not Fk you” to the attending public. The funny video was received with a warm welcome by the audiences. As a result, we drew a conclusion that videos/posters that feature **humor** are a powerful way to connect with the audience. Along with amusing and connecting with the audience, these marketing artifacts can have an informational purpose, i.e.updating customers on the company’s current activities.Videos can be developed in a series or sequence as part of a YouTube channel and an **integrated social media** campaign. In addition to YouTube, other social media need to be implemented (Twitter, Facebook etc.) because they are very effective and efficient solutions. Phenu is planning on launching a daily location report on Twitter. For example, a shooting task for Sushi Bar at downtown then we can post “we are at Sushi Bar downtown and salmon sashimi is yummi”. Phenu`s Facebook and Twitter accounts could share the same content about the location report to make for an **integrated social media** presence. As was observed, people have a habit of posting photos of food every single minute on Facebook and other social media platforms. In order to make some prospects out of trend, Phenu has launched a photo contest on its website. The first place will win $500 cash and $300 for 2nd place, 200 for 3rd.

Phenu advertises its website service via sales promotion to target restaurants to sign contracts. The selection of restaurants is made based on proximity to universities. Then, Phenu`s marketing/sales representatives contact restaurant marketing/owners/decision makers. In order to provide greater incentive for restaurants to sign up, Phenu offers to feature the respective restaurant`s logo on their posters and campaigns.


 * 4.Place**

Place makes for the easiest part of the 4Ps to get right.The web is a very potent and economical way to reach both, Internet users and restaurants. Cyberspace breaks geographical barriers because of global and easy access thus it provides for opportunities to grow and expand.The service is available to all customers around the world but targets local communities. When Phenu reaches a more mature stage, it can expand to other cities in Canada, even the U.S.