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Manohar presentation2
1.
2.
3. Krispy Natural is the upcoming blockbuster
product of Pemberton.
Pemberton was the snack food division of
Candler Enterprises, a multinational beverage
and snack goods manufacturer.
4. Building a collection of attractive, durable
brands.
Leveraging leading marketing, sales and DSD
systems.
Building or acquiring capabilities in salty
snack categories.
5. Company-owned direct store delivery
(DSD)distribution system in which products
were delivered directly to retail outlets.
More accurate forecasting.
Reduced stock-outs.
Quicker turnover of products.
Income statement (% of revenue)
6.
7. Compound Annual Growth Rate (CAGR) of
2.2% from 2008 to 2010.
75% Market share was captured by top 3
companies.
50%+ people preferred cracker packages with
portable quantities.
53% considered healthiness as an important
factor.
8. Compound Annual Growth Rate (CAGR) 2.1%
from 2008 to 2010.
Kraft Food Inc and Kellogg focussed on
healthier up-scale options.
Pepperidge Farm focussed on flavor and
healthiness.
9.
10. Kellogg captured 33% share in 2010.
2:1 ratio in taste preference for crackers with
filling.
Best obtained alternatives: with whole-grain
cracker and real cheese.
11. In year 2008, Pemberton bought Krispy which
now comprises 3 production plants.
Primary region: South Eastern U.S.
Marketed as: Mobile_ Grab and Go.
Product primary presence: In Vending
Machines and Convenience stores.
13. Product Test:
◦ Positive purchase intent of 77% - 92%.
◦ 2:1 ratio in taste preference.
14. Estimated Dollar Shares:
◦ Test in Columbus, Ohio and trio of cities in the
southeast.
◦ 18% of market in Columbus.
◦ Only 1% increase in Southeast.
15.
16. Minimum sales of $500 million during yr one.
Steady state pre tax profit contribution of at
least 13%.
18. Introduction of product like Frito Lay
increases risk factor.
Tremendous competitive from Kellogg, Kraft
etc. marketing with healthy standards.
Positive purchase intent of 81%.
19. Continuous innovation in types and introduce
different kinds of products to market.
Produce crackers with less sweet or salty
mainly focusing on health.
20. Highlight the use of natural ingredients.
Continuously improve quality and taste and
developing strong R&D.
21. Created by K Manohar, NIT Nagpur, during
Marketing Internship by Prof. Sameer Mathur
(IIM Lucknow).
