Edna CASE 3A

Since graduating with an Information Technology diploma, two years ago, Edna has been

working in her aunts restaurant as a hostess/cashier. In her spare time, she has created an easyto-use computer app that allows the restaurant owner to predict the number of customers to

expect on any given day. It uses information from daily sales receipts going back several years

and takes into account holidays, business growth (or shrinkage), special events (the restaurateur

is prompted for this information) and a host of other variables.

Edna has been testing the software for several months in the restaurant and so far, it has

been amazingly accurate. It has saved her aunt thousands of dollars by cutting waste from overpurchasing and over-preparing food. Edna calls the program BeaneryPlan.

When the program is first installed, it can take several days to enter past records. Then,

the user needs to spend only a few minutes each day answering the questions from the menudriven program. The software even tracks the popularity of individual menu items, and predicts

the sales of particular dishes. It can even make recommendations for changing the menu or the

hours of operation.

Edna has saved up almost six thousand dollars that she is prepared to invest in a business

that will sell BeaneryPlan. She envisions that eventually, the software will have the capability of

analyzing the items available and prices at the wholesale food terminal. It will then be able to

create a daily menu that will produce the greatest profit and the greatest customer satisfaction.

For now, however, Edna is going to concentrate on selling the program as it stands. She

is just not quite sure of the next step to take.

1. What customer group might be appropriate for Edna to target at the beginning? Explain your

choice.

2. Describe the Channel of Distribution, identifying any intermediaries.

3. What method(s) might be appropriate to promote BeaneryPlan? Explain your choice(s).

4. What Marketing Research information should Edna try to get before she begins.