Saxonville® Sausage: The
AXIS Consulting LTD.!
0% growth in overall sausage!
15% growth in Italian sausage!
16% Vivio® market penetration!
20% annual organics growth!
Strengths & Weaknesses!
• Ability to distribute fresh products nationally!
• 44% adult population prefer fresh!
• Matched category growth level!
• Favorable brand image!
• Not a ﬁrst mover in Italian sausage market!
• In-store promotional marketing only!
• Small national presence !
• No “true Italian” heritage!
Opportunities & Threats!
• Growing Italian sausage market!
• Desire for tasty, easy family meals!
• Growing organic and “natural" markets!
• No national players in fresh Italian sausage !
• Local producers!
• Higher spending by potential rivals!
• Increased frozen sausage consumption!
GE / McKinsey Chart Analysis!
Business Unit Strength!
High! Medium! Low!
• Take Vivio® national!
• Focus on cohesive branding!
• Increase sustainability!
• Introduce Vivio® Organic line !
• Market presence!
• Positive testing!
• Less costly !
Positioning statement: !
“Bringing families together with fresh healthful
Unique Selling Propositions:!
• A national line of fresh Italian sausage!
• Makes for easy and delicious family meals !
• The versatile ingredient no family should go without!
Strategies for Vivio® Natural!
• Labels with recipes!
• Recipe sharing with strategic partners!
• Coupons and discounts with strategic partner!
Strategies for Organic line!
• Co-branding with local organic producers !
• Encourage local producers to promote Vivio® !
Vivio® Natural Vivio® Organic
• Drop hot sausage ground!
• Drop Italian pepper sausage!
• Recipe licensing !
• Produced organic farms!
Re-sealable sustainable packaging created by Ecoproducts®!
Smaller labels to showcase product!
Recipes on back of label!
“The versatile ingredient no family should go without”
Existing distribution chain for Vivio® Natural!
• Fresh suppliers!
• Sold to wholesalers!
• Promoted in chain stores.!
Organic line licensed in the Paciﬁc and Northeast!
• Revenues of $1.5 Billion!
• COGS of $1.223 Million (81.54%)!
• Gross Margin $276.9 million!
• Promotional Expense of $11.850 (.79%)!
• Net Proﬁt of $39.6 Million!
Spending to Compete!
2004 – 2005 breakfast sausage
hemorrhaged more than $33,000,000 in
Recommendation: $12 million introductory
Organizational goal cannot be realized
without a ﬁnancially supported