WM WRIGLEY JR.COMPANY:         INNOVATION INCHINA’S CONFECTIONERY MARKET                BATCH MATES:                Jasnee...
TIMELINE• 1891-                   company started by William                          Wrigley Jr.• 1892- Wrigley started p...
Cont’d …..• 1910-                              was introduced• Established first factories outside U.S   – Canada(1910), A...
Cont’d• 1960- First Television advertisement was given• 1961- Expands around the world   – Now available in more than 180 ...
Cont’d• 1976- Wrigley’s first cinnamon gum  was introduced• 1984-                    first sugar free gum was  introduced•...
Cont’d• 1999- A new level of Breath-freshening gum  was introduced• 2001-            &          were introduced• 2004- Acq...
2008- MARS completes acquisition ofWrigley company
GLOBAL CONFECTIONERY SHARE
GROWTH             STRATEGIES   Aggressive             Continuous  expansion in              productemerging markets      ...
AGGRESSIVE EXPANSION IN EMERGING MARKETS• Russia, India, China  Local              Adaptability   SUCCESS  Needs
CONTINUOUS PRODUCT INNOVATION     Health Related     Confectionery        Add health ingredients           to their brands...
In        Annual sales ( in Billion $)           Annual sales ( in Billion $)                    5.4  1.9                 ...
Scope for Wrigley in ChinaProduct InnovationOne of the largest economies in the worldLarge under-explored Rural & urban...
Reasons for less growth rate• Market was dominated by sugar confectionery  i.e. >70%• Chocolates were considered to be mor...
Wrigley’s Success through Product         Innovation in China• The sales were expected to be 70-80% of market  share in Ch...
3 PRINCIPLESPeople…. Planet…. Performance
Benefits of Chewing Gum• Chewing Gum helps improve Oral health   Chewing sugar-free gum after eating or drinking is clini...
RECOMMENDATIONS• Use 100% renewable sources• Use of 100% recyclable plastic in  manufacturing of Jars• Future Gums should ...
Conclusion  It should follow the following product innovation  strategy in order to capture the opportunities  and to sust...
Did U Know ……. ?• On average, a piece of chewing gum costs about 3  pence, but the cost of removal is about 10 pence per  ...
Wrigleys Innovation in China
Wrigleys Innovation in China
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Wrigleys Innovation in China

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Wrigleys Innovation in China

  1. 1. WM WRIGLEY JR.COMPANY: INNOVATION INCHINA’S CONFECTIONERY MARKET BATCH MATES: Jasneet B38 Prasanth B39 Nitish B40
  2. 2. TIMELINE• 1891- company started by William Wrigley Jr.• 1892- Wrigley started producing gum through Zeno Manufacturing in Chicago, before Wrigley purchased the company in 1911.• 1893- , oldest brand in the Wrigley family, was launched – Number 1 in chewing gum with kids
  3. 3. Cont’d …..• 1910- was introduced• Established first factories outside U.S – Canada(1910), Australia (1915), Great Britain (1927) & New Zealand (1939)• 1912- Clarence Crane invented ,a candy. Wrigley purchased the Life Savers brand in 2005 from Kraft.• 1914- was introduced with a double spear registered trademark.
  4. 4. Cont’d• 1960- First Television advertisement was given• 1961- Expands around the world – Now available in more than 180 countries• 1974- Juicy fruit launches the use of UPC codes• 1975- was introduced in 1975 as the first non-stick alternative in chewing gum
  5. 5. Cont’d• 1976- Wrigley’s first cinnamon gum was introduced• 1984- first sugar free gum was introduced• 1989- International Expansion to China & Eastern Bloc countries• 1994- was introduced Became more popular among US teens
  6. 6. Cont’d• 1999- A new level of Breath-freshening gum was introduced• 2001- & were introduced• 2004- Acquires , ,, PIM POM & TREX• 2007- Long-lasting flavoured “5” gum launched
  7. 7. 2008- MARS completes acquisition ofWrigley company
  8. 8. GLOBAL CONFECTIONERY SHARE
  9. 9. GROWTH STRATEGIES Aggressive Continuous expansion in productemerging markets innovation
  10. 10. AGGRESSIVE EXPANSION IN EMERGING MARKETS• Russia, India, China Local Adaptability SUCCESS Needs
  11. 11. CONTINUOUS PRODUCT INNOVATION Health Related Confectionery Add health ingredients to their brands Exploit the inherent benefits of the confectionery Search alternate delivery systems to deliver health benefits.
  12. 12. In Annual sales ( in Billion $) Annual sales ( in Billion $) 5.4 1.9 1.451997 2007 2008
  13. 13. Scope for Wrigley in ChinaProduct InnovationOne of the largest economies in the worldLarge under-explored Rural & urban marketsLess awareness & consumption
  14. 14. Reasons for less growth rate• Market was dominated by sugar confectionery i.e. >70%• Chocolates were considered to be more of a Western tasteDespite the small market share, chocolates and chewing gums had grown at a faster rate than sugar confectionery between 2000 and 2005
  15. 15. Wrigley’s Success through Product Innovation in China• The sales were expected to be 70-80% of market share in China.• The heart of Wrigley’s success was its product innovation and its wide distribution network.• It reached 2.2 million distribution pointsImplanting Wrigley’s Products into China via New Product LaunchesAdapting to Local Consumer Tastes and Culture: Langyi Sugar-Free Gum “open, joyous, clear, bright, relaxed and happy” in Chinese
  16. 16. 3 PRINCIPLESPeople…. Planet…. Performance
  17. 17. Benefits of Chewing Gum• Chewing Gum helps improve Oral health  Chewing sugar-free gum after eating or drinking is clinically proven to be an important part of good oral health• Stimulating flow of saliva in the mouth• Relieving dry mouth discomfort• Neutralizing plaque acids that form in the mouth after eating fermentable carbohydrates• Helping to demineralise enamel to strengthen teeth• Helping to whiten teeth by reducing and preventing stains
  18. 18. RECOMMENDATIONS• Use 100% renewable sources• Use of 100% recyclable plastic in manufacturing of Jars• Future Gums should be released• Go beyond Gum• Vending machines should be made available for easy accessibility
  19. 19. Conclusion It should follow the following product innovation strategy in order to capture the opportunities and to sustain its success: It should go for repositioning of its products. Timely update or revamping strategies should be followed. Regular R&D should be done on the tastes & Preferences of customers
  20. 20. Did U Know ……. ?• On average, a piece of chewing gum costs about 3 pence, but the cost of removal is about 10 pence per piece.• Chewing gum takes up to 5 years to biodegrade.• Chewing gum litter was found in 95% of sites.• The earlier gum that was eaten dates back to more than 2000 years. If Litter Continues If you want to eradicate it

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