ConAgra Grocery Product Company
I. ConAgra Grocery Products Company (CAGP): Short-term Growth v.s Long-term Success
CAGP, formerly Hunt-Wesson Inc, was a subsidiary of ConAgra Food Inc., an American diversified food conglomerate based in Omaha, Nebraska. CAGP itself was a successful food company, which developed strong sales and distribution networks, and sales topped $2 billion annually. Bringing consumers “the finest-quality and best-tasting products” was the company’s mission. It marketed and produced a wide range of shelf-stable grocery products from tomato sauce to ethnic food. The company had more than 300 customers and Wal-mart was one of their largest customers. CAGP’s headquarters were located in Fullerton, California.
The market for food industry has all time been a crowded place with the increase in product introductions and changing consumer tastes. To succeed, it is important to keep up with product development trends, customers’ profitability and create brand identity as well as brand equity. Product development is the lifeblood of any food leading companies. Therefore, R&D should be the main focus in combination with good marketing strategy, which will maintain products quality and/or create new products that in turn create new customers. Creating and building brands involve various marketing strategies, which include promotions, advertisement campaigns and competition for display location at retail stores. A company should also take into consideration that their marketing strategies have to match its retailer stores strategies, for retailers will decide which products they want to be more appeal to consumers through their marketing channels.
No stranger with these success factors in the food industry, CAGP had their own strategies. However, the old marketing strategy focused on the wrong objectives, which lead to the need for a new marketing approach. Growth was the main focus in the old marketing strategy. And through heavy advertising, CAGP hoped that their products got
CAGP, formerly Hunt-Wesson Inc, was a subsidiary of ConAgra Food Inc., an American diversified food conglomerate based in Omaha, Nebraska. CAGP itself was a successful food company, which developed strong sales and distribution networks, and sales topped $2 billion annually. Bringing consumers “the finest-quality and best-tasting products” was the company’s mission. It marketed and produced a wide range of shelf-stable grocery products from tomato sauce to ethnic food. The company had more than 300 customers and Wal-mart was one of their largest customers. CAGP’s headquarters were located in Fullerton, California.
The market for food industry has all time been a crowded place with the increase in product introductions and changing consumer tastes. To succeed, it is important to keep up with product development trends, customers’ profitability and create brand identity as well as brand equity. Product development is the lifeblood of any food leading companies. Therefore, R&D should be the main focus in combination with good marketing strategy, which will maintain products quality and/or create new products that in turn create new customers. Creating and building brands involve various marketing strategies, which include promotions, advertisement campaigns and competition for display location at retail stores. A company should also take into consideration that their marketing strategies have to match its retailer stores strategies, for retailers will decide which products they want to be more appeal to consumers through their marketing channels.
No stranger with these success factors in the food industry, CAGP had their own strategies. However, the old marketing strategy focused on the wrong objectives, which lead to the need for a new marketing approach. Growth was the main focus in the old marketing strategy. And through heavy advertising, CAGP hoped that their products got