Krispy Natural
Krispy Natural
Problem Identification
1. Marne’s high expectations are not realistic- wants to double projections
a. Test market results for the southeast regions do not indicate an impressive gain in the market (i.e. market share increased from 9% to 10% when it was expected to reach 15%, display activity was below what the team expected)
b. The good results in Columbia were due to sampling, significant price discounts and couponing- can’t keep this
2. Test market results for the southeast regions do not indicate an impressive gain in the market
a. The brand is already established at a lower price
b. People in the industry felt that the taste preference was not better than current brands and that the claims were inflated
c. They are using the same merchandisers for the rest of the Pamberton products as well as Krispy Natural
3. People in the industry felt that the taste preference was not better than current brands and that the claims were inflated
a. Standalone flavor is the number one criterion for cracker selection/ purchase decision
Alternative Generation
1. Rollout a National Campaign
PROS
CONS
The Market Share of the top two leading brands are declining (pg. 3 &4)
i.e. Kraft: “All Other” 2009 = 37.8% 2010 = 37% “Filled” 2009 = 34.7% 2010 = 32.7%- share declines over past three years”a
i.e. Kellog “All Other” 2009 =
Potential for new market share in regions that they are not established in
Might go head-to-head with the established Frito Lay brand cracker rollout
Market share and shelf space not promising in regions where they are already established
Doesn’t capture a sustainable competitive advantage
2. Do not rollout a National Campaign
PROS
CONS
Making a Decision
Rollout National Campaign
Implementation Plan
1. What is the best rollout strategy to neutralize the competition? NICHE STRATEGY
a. Reduce the product line to four “Crackers with filling” products and eliminate the flat cracker products. The flat cracker products
Problem Identification
1. Marne’s high expectations are not realistic- wants to double projections
a. Test market results for the southeast regions do not indicate an impressive gain in the market (i.e. market share increased from 9% to 10% when it was expected to reach 15%, display activity was below what the team expected)
b. The good results in Columbia were due to sampling, significant price discounts and couponing- can’t keep this
2. Test market results for the southeast regions do not indicate an impressive gain in the market
a. The brand is already established at a lower price
b. People in the industry felt that the taste preference was not better than current brands and that the claims were inflated
c. They are using the same merchandisers for the rest of the Pamberton products as well as Krispy Natural
3. People in the industry felt that the taste preference was not better than current brands and that the claims were inflated
a. Standalone flavor is the number one criterion for cracker selection/ purchase decision
Alternative Generation
1. Rollout a National Campaign
PROS
CONS
The Market Share of the top two leading brands are declining (pg. 3 &4)
i.e. Kraft: “All Other” 2009 = 37.8% 2010 = 37% “Filled” 2009 = 34.7% 2010 = 32.7%- share declines over past three years”a
i.e. Kellog “All Other” 2009 =
Potential for new market share in regions that they are not established in
Might go head-to-head with the established Frito Lay brand cracker rollout
Market share and shelf space not promising in regions where they are already established
Doesn’t capture a sustainable competitive advantage
2. Do not rollout a National Campaign
PROS
CONS
Making a Decision
Rollout National Campaign
Implementation Plan
1. What is the best rollout strategy to neutralize the competition? NICHE STRATEGY
a. Reduce the product line to four “Crackers with filling” products and eliminate the flat cracker products. The flat cracker products