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DESPITE THE LACK OF A                     Kreme products and tweet about the        promotions targeted at SA tastes. An
                              doughnut-eating culture       experience. The MC was acclaimed          example is a milk tart and koeksister
                              in South Africa, the Krispy   speaker Zipho Sikhakhane.                 doughnut which was offered on
                  Kreme chain is selling 600 000                                                      Heritage Day in late September. Coffee,
                  doughnuts a month in the country            Eleftheriadis, who is himself an        an important part of the product mix, is
                  through its four Gauteng outlets – a      alumni of the IMM Graduate School,        also localised and in South Africa it is
                  figure that will increase markedly over   said the ethos of the Krispy Kreme        blended and roasted locally, using up to
                  time as the brand aims to open 35         brand was to bring emotion and joy to     90% African beans.
                  outlets nationally within five years.     customers. “It’s not just about eating
                                                            a doughnut; it’s about the whole            Doughnuts, however, are the main
                    According to Nick Eleftheriadis,        experience,” he emphasised. Part of       focus of the brand and Eleftheriadis
                  Executive Director: Marketing with        the marketing strategy is to promote      says the difference between Krispy
                  responsibility for the brand in South     the idea of ‘sharing’ – encouraging       Kreme’s product and competitor
                  Africa, more outlets are being rolled     people to buy the product to share with   offerings is that it is “a light fluffy
                  out in Gauteng in 2016 (the Sandton       family, friends and work colleagues.      product that melts in your mouth”. A
                  City store opened in September),          Therefore, customers are just as likely   key ingredient in achieving this is palm
                  with KwaZulu-Natal beginning its          to purchase a dozen doughnuts as they     oil imported from Malaysia.
                  roll-out next year and the Western        are to buy one.
                  Cape in 2018.                                                                         Responding to a question from the
                                                            TARGET MARKET                             floor, Eleftheriadis told guests that the
                    He was speaking to an audience of       The target market embraces consumers      brand’s global communications strategy
                  professional marketers, students and      across the board – from young             was to focus mainly on below-the-line
                  alumni at an Institute of Marketing       children to mature adults – with minor    strategies. “I’ve yet to see a TV ad; I’ve
                  Management (IMM) event in Sandton         demographic variations according to       yet to hear a radio ad. The basic thing
                  recently. The gathering – held at Katy’s  store location. In terms of customer      that they (the brand’s global marketing
                  Palace Bar in Kramerville – was the       experience, the brand concentrates on     team) want to do is get product in
                  first of a series of new-look networking  five factors: taste, touch, sight, sound  hand,” he explained.
                  and information events being arranged     and smell. “We drive it into our brand
                  by the IMM.                               and to the people who look after our        The Krispy Kreme story began in
                                                            brand,” Eleftheriadis said.               1930s America, when Vernon Rudolph
                    It included entertainment by singer/                                              bought a secret recipe for yeast-raised
                  musician Jacques Lagesse, an address        While Krispy Kreme has its origins in   doughnuts from a French chef in the
                  by IMM Director, Helen McIntee,           the US and boasts a global footprint of   city of New Orleans. He then rented
                  opportunities to sample the doughnuts,    more than 800 stores worldwide, there     a building in the town of Winston-
                  and a fun competition in which guests     is scope to localise the brand through    Salem in North Carolina and started
                  were asked to take selfies with Krispy                                              a wholesale business selling the
PHOTOS: SUPPLIED                                                                                      doughnuts to grocery stores.
                  Far left: We were
                  framed! Two guests                                                                    However, the delicious scent of
                  get to grips with the                                                               cooking doughnuts drifted into the
                  product. Left: As                                                                   street and was too difficult to ignore,
                  sunset descends on                                                                  causing passers-by to stop and ask
                  Katy’s Palace Bar                                                                   if they could buy hot fresh doughnuts
                  overlooking Johan-                                                                  there and then. Vernon saw this as
                  nesburg, musician                                                                   an opportunity to create a retail
                  Jacques Lagesse                                                                     business and cut a hole in the wall
                  entertains the crowd.                                                               of the building to sell directly
                  Right: Krispy Kreme’s                                                               to customers.
                  Nick Eleftheriadis,
                  event MC Zipho                                                                        The brand has since become an
                  Sikhakhane and the                                                                  American icon and is featured in the
                  IMM’s Helen McIntee                                                                 National Museum of American History
                                                                                                      at the world-renowned Smithsonian
                                                                                                      Institute in Washington DC.

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