Business idea self-vending machine of Snog Ice-creams
With rising competition in the hospitality industry coupled with high operating costs, companies in the sector need to develop strategies to improve their competitiveness and brand strength growth. Snog Limited is renowned ice-cream and snacks makers and seller in the United Kingdom; the company has a strong brand name and one of the leading sellers in the subsector. With its strong brand name, the company has a chance of brand extension; brand extension is a management term used to mean a diversity of business in the same line with the traditional business system but support for the new system is expected to have originated from the strength of the companies brand. This paper briefly discusses a brand extension applicable at Snog Limited in the nature of new business idea.
We will write a custom Essay on Automatic Snog-Vending Machine specifically for you
301 certified writers online
The Product: Snog
Snog is a delicious frozen yogurt that comes in different flavors like chocolate, mango, forest fruits, pineapple, and vanilla; the product was introduced in the United Kingdom in 2007 by Snog Limited. The low fat product is made from fresh non-fat organic yogurt and organic skimmed milk; the product offers a healthy meal to the user. Since the introduction of the product, it has been gaining support and the brand name strengthening in the market. The product is sold in groceries, airports, cafes, cinemas, and theatres. The innovation of the company will be establishment of vending machine to populated places where customers and lovers of the product can get them at their convenience.
The business idea: Automatic Snog-Vending Machine
With the strength of the brand, it should be made accessible to the people at their own convenience; with a vending machine, the company will increase the accessibility of the product to the people. A vending machine is a self-serving machine whereby a customer only needs to give the machine instructions of the product (in terms of size, flavor, and color) that he or she want. After paying for the product, the customer will automatically get the product according to his/her description.
The technology involved in the machine involves giving instructions that are interpolated by the machine and give the desired results, which is the product. The machine will have the capacity to recognize fake money, give the right change, and thank the customer for the service. Other than recognizing currency, the machine will be accepting Visa-cards, credit-cards, debit-cards, and Automated terror machine cards. On the face of the machine, it will be running different categories of the products in the form of sizes and flavor, a customer only needs to tap the commodity he or she will be interested in and the process starts.
To facilitate ease in managing the outlet, it will be connected with the company’s integrated stock management system; with the integration it will sense when there is need to refill or when some of the products have become stale thus need to be disposed. A record of all monies that have been collected during a certain period will be maintained by the system. Although the initialization cost of the machine is high, the company will benefit from the innovation as it will access a large number of customers at a minimal cost.