Case Study – Truearth Health Foods
Case Study – TruEarth Health Foods
Abstract
In this paper I will discuss why the Cucina Fresca pasta was successful in light of the data in the case study tables Discuss why the Cucina Fresca pasta was successful in light of the data in the case study tables and whether there is a marked difference between customers who are likely to buy the pasta and those who will not. I will also analyze if there is a first mover advantage to Cucina Fresca introducing a whole grain frozen pizza into the marketplace and make a recommendation based on that analysis.
Background Gareth DeRosa founded TruEarth Health Foods in 1993 in St. Louis, Missouri when he saw a rapidly growing demand for gourmet sauces and pastas made from whole grains and natural, better quality ingredients. TruEarth took an informal approach to product development using their test kitchen to develop new products through intuition, then releasing limited-edition variations to test market new products. They eventually developed a four step process for research and development where new ideas would be screened and tested their limited focus groups. Promising products would then be put through a quantification of volume test process using the Nielsen BASES I&II, (Rangan & Yong, 2009). In late 2004 TruEarth developed a product to take advantage of the latest trend in home meal replacements. They came up with the Cucina Fresca line of whole grain precooked pasta and sauces. These products were put through the Nielsen BASES I&II and based on the findings the company decided to go to market with them. The Cucina Fresca line was rolled out in 2006. Their pasta line was successful at utilizing first mover advantage and quickly gained the lead in that market segment. However, a year later, their main competitor, Rigazzi Brands, introduced its own whole-grain fresh pasta, which has been successfully competing for market share ever since. TruEarth Healthy Foods is now looking at a healthy,
Abstract
In this paper I will discuss why the Cucina Fresca pasta was successful in light of the data in the case study tables Discuss why the Cucina Fresca pasta was successful in light of the data in the case study tables and whether there is a marked difference between customers who are likely to buy the pasta and those who will not. I will also analyze if there is a first mover advantage to Cucina Fresca introducing a whole grain frozen pizza into the marketplace and make a recommendation based on that analysis.
Background Gareth DeRosa founded TruEarth Health Foods in 1993 in St. Louis, Missouri when he saw a rapidly growing demand for gourmet sauces and pastas made from whole grains and natural, better quality ingredients. TruEarth took an informal approach to product development using their test kitchen to develop new products through intuition, then releasing limited-edition variations to test market new products. They eventually developed a four step process for research and development where new ideas would be screened and tested their limited focus groups. Promising products would then be put through a quantification of volume test process using the Nielsen BASES I&II, (Rangan & Yong, 2009). In late 2004 TruEarth developed a product to take advantage of the latest trend in home meal replacements. They came up with the Cucina Fresca line of whole grain precooked pasta and sauces. These products were put through the Nielsen BASES I&II and based on the findings the company decided to go to market with them. The Cucina Fresca line was rolled out in 2006. Their pasta line was successful at utilizing first mover advantage and quickly gained the lead in that market segment. However, a year later, their main competitor, Rigazzi Brands, introduced its own whole-grain fresh pasta, which has been successfully competing for market share ever since. TruEarth Healthy Foods is now looking at a healthy,
References: Kotler, P., & Keller, K. L, (2009), 5th Ed. A Frame Work For Marketing Management. Prentice Hall, Upper Saddle River NJ Rangan V., Yong S. 2009, “TruEarth Healthy Foods:Market Research for a New Product Introduction” Harvard Business School Publishing. Taken From JWMI 2012 Stouffer’s Lean Cuisine Website:2012 http://www.leancuisine.com/Products/Details.aspx?ProductID=10510