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Fressen Catering
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Fressen Catering is a start-up company. Marketing is critical to its success and future profitability. Fressen offers creative, gourmet kosher catering for a wide range of events.
The basic market need is a high quality, creative kosher catering company servicing the Philadelphia Jewish population. Fressen will meet this demand with an ever expanding innovative repertoire of kosher meals.
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Fressen possesses good information about the market and knows a great deal about the common attributes of our most prized and loyal customers. Fressen will leverage this information to better understand who is served, their specific needs, and how Fressen can better communicate with them.
Market Analysis | |||||||
2001 | 2002 | 2003 | 2004 | 2005 | |||
Potential Customers | Growth | CAGR | |||||
Middle class kosher customers | 9% | 120,547 | 131,396 | 143,222 | 156,112 | 170,162 | 9.00% |
Upper class kosher customers | 8% | 80,457 | 86,894 | 93,846 | 101,354 | 109,462 | 8.00% |
Other | 0% | 0 | 0 | 0 | 0 | 0 | 0.00% |
Total | 8.60% | 201,004 | 218,290 | 237,068 | 257,466 | 279,624 | 8.60% |
Fressen is providing its customers with a progressive menu offering of kosher catering. Typically kosher foods are bland, traditional, and far from innovative. Fressen is meeting the market need of a wider menu offering for events that require kosher catering. Fressen seeks to fulfill the following benefits that are important to their customers.
The market trend for kosher catering is headed toward a more discriminating customer. The catering patron today is more sophisticated in a number of different ways:
The reason for this trend is that within the last few years there have been progressive caterers and restauranteurs in larger cities that have begun to apply their culinary skill to kosher offerings, recognizing that market demand could be developed. Now that people are trying this fare, they are recognizing there is no need to be complacent with the status quo.
In 1999, the kosher catering industry reached $16 million in sales nationally. As more options begin to be offered, market growth is forecasted to increase. This is because people are demanding more choices now that they recognize choice is a feasible option. For years, people that practiced kosher were duped into the belief that kosher food was stagnant, boring, and unflavorful.
The following SWOT analysis captures key strengths and weaknesses within the company and describes the threats facing Fressen.
There are four other kosher caterers that serve the low to middle end of the market. These caterers compete to some degree on price (due to budget constraints of some clients), more so on service. The quality of the food and the serving of the food are the main areas of service that the caterers compete on.
There is one high-end caterer who will compete with Fressen. This caterer, while serving the upper-end market, often does not offer an upper-end service. Their business has been declining over the last few years. People with knowledge of the industry recognize that this company is not a strong competitor because of their overpriced service offerings relative to the service provided.
Lastly, one competitor for the high-end market is kosher caterers from New York City. When cost is no object, there are many people that are willing to pay the additional cost of bringing in the caterer from NYC.
Fressen Catering will provide Philadelphia with high-quality kosher catering. The catering service will be for weddings, Bar/Bat Mitzvahs, and other assorted parties.
Kosher or kashruth is a specific, ritual/set of rules that applies to certain sects of Judaism in regards to food/drink preparation and consumption. A kitchen or catering service must be specially set up to provide kosher meals. The explanation below regarding the prohibition of dairy and meat served together, or made in the same kitchen by the same pots and utensils, is the reason that Fressen Catering will require two sets of everything, including two stove top ranges and ovens.
The Hebrew word kosher means fit or proper as it relates to dietary (kosher) laws. It means that a given product is permitted and acceptable. The sources for the laws of kashruth are of Biblical origin and expounded in Rabbinic legislation. These laws are codified in the Shulchan Aruch (Code of Jewish Law). Though a hygienic benefit has been attributed to the observance of kashruth, the ultimate purpose and rationale is simply to conform to the Divine Will as expressed in the Torah.
Kosher and non-kosher meat, poultry and fish:
Another element of kosher meat consumption applies to the way in which the meat is slaughtered. There are several different methods:
One of the main tenants is the prohibition of meat and dairy in the kitchen together. The Torah forbids cooking meat and milk together in any form, eating such cooked products, or deriving benefit from them. As a safeguard, the Rabbis extended this prohibition to disallow the eating of meat and dairy products at the same meal or preparing them on the same utensils. One must wait up to six hours after eating meat products before any dairy products may be eaten.
Fressen Catering will serve a wide variety of dishes. This is offered for two reasons.
Some of the menu offerings will be traditional Kosher/Jewish meals such as beef brisket with potatoes and vegetables and a roasted chicken with rice and spinach. More inventive meals will also be offered to appeal to the higher end, more discriminating customers such as chicken pesto dishes or a red pepper couli sauce, or maybe salmon with curry couli and plum chutney.
Kosher catering is not cheap. The ingredients cost more, as well as the additional equipment that is needed to eliminate the mixing of dairy and meat products. Per person costs range from $45-110.
Fressen Catering is still in the speculative stage as a caterer. The critical issues will be handled by:
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