Natureview
1. Industry Definition:
The organic foods market which worth 6.5 billion USD in 1999 was predicted to grow to 13.3 billion in 2003. There is 1.8 billion USD in total U.S. retail sales of refrigerated yogurt and sales volume was over 2.3 billion USD in 1999. 97% of all yogurt had been sold in super market, natural stores and other channels such as warehouse clubs, convenience stores, drug stores and mass merchandisers. Also the unit volume of organic yogurt is predicted to grow 20% per year from 2001 to 2006 at supermarkets and unit growth projections of 2% to 4% for the yogurt category. The natural foods channel was growing almost seven times faster than the supermarket channel. Natureview Farm, a Vermont-based organic yogurt manufacturer with annual revenues of 13 mln. USD and 24% of market share, is a major brand in the natural foods channel. Company’s leadership in this channel was achieved through its emphasis on natural ingredients, strong reputation for quality and great taste, creative marketing techniques and established relationships with leading natural foods retailers.
2. SWOT | | Identification | Implications | Strengths | S1 | Well know brand | Major and trusted brand in natural foods | | S2 | Product quality | Longer product self life - comparing to other product 30 days shelf life, Natureview's yogurt will remain fresh for 50 days | | S3 | Channel leader | Their yogurt is sold in most channel | Weaknesses | W1 | Market share | Own small portion of the yogurt market | | W2 | Not independence | High dependence on brokers for distribution and promotion | | W3 | Not ventured into supermarket channel | | Opportunities | O1 | Supermarket channel growth | Potential to growth in supermarket channel | | O2 | Natural food segmentation | Natural food's sales expected to growth by 20% | | O3 | Other segmentation | Opportunity to expand for lowering customer cost | Threats | T1 | capital | Lack of capital | |
The organic foods market which worth 6.5 billion USD in 1999 was predicted to grow to 13.3 billion in 2003. There is 1.8 billion USD in total U.S. retail sales of refrigerated yogurt and sales volume was over 2.3 billion USD in 1999. 97% of all yogurt had been sold in super market, natural stores and other channels such as warehouse clubs, convenience stores, drug stores and mass merchandisers. Also the unit volume of organic yogurt is predicted to grow 20% per year from 2001 to 2006 at supermarkets and unit growth projections of 2% to 4% for the yogurt category. The natural foods channel was growing almost seven times faster than the supermarket channel. Natureview Farm, a Vermont-based organic yogurt manufacturer with annual revenues of 13 mln. USD and 24% of market share, is a major brand in the natural foods channel. Company’s leadership in this channel was achieved through its emphasis on natural ingredients, strong reputation for quality and great taste, creative marketing techniques and established relationships with leading natural foods retailers.
2. SWOT | | Identification | Implications | Strengths | S1 | Well know brand | Major and trusted brand in natural foods | | S2 | Product quality | Longer product self life - comparing to other product 30 days shelf life, Natureview's yogurt will remain fresh for 50 days | | S3 | Channel leader | Their yogurt is sold in most channel | Weaknesses | W1 | Market share | Own small portion of the yogurt market | | W2 | Not independence | High dependence on brokers for distribution and promotion | | W3 | Not ventured into supermarket channel | | Opportunities | O1 | Supermarket channel growth | Potential to growth in supermarket channel | | O2 | Natural food segmentation | Natural food's sales expected to growth by 20% | | O3 | Other segmentation | Opportunity to expand for lowering customer cost | Threats | T1 | capital | Lack of capital | |