Culinarian is a cookware brand that aims to provide high quality products with advanced technology. In 2006, its strategic priorities are to widen its network, increase market share, and preserve its brand image with a revenue growth target of 15%. While a sales manager supports offering price promotions to boost awareness and engagement, the CEO believes it could harm the brand image based on negative results from 2004 promotions. The document considers pros and cons of price promotions versus alternative promotional strategies like cash back schemes and cooperative advertising to meet growth targets while maintaining a premium brand image.

1. Culinarian Cookware
Mba3 RMS Grp-09
Heena
Chayya
Manpreet

2. Case Synopsis
Brand Vision: To provide Customers, the
cookware's with superior quality & most
advanced technology. To make their
cooking, a better experience

3. Donald JanusVictoria Brown
No Price
discounts
Give Price discounts

4. About Cullinarian
•Premium cookwares with most advanced technology
•Invented Copper coating technology
I love this
cookware
range
Copper cookwares
Trend: Designer cookwares,
Endorsed by professionals

5. Ceo : 2006 Strategic Priorities
1. Widen network
2. Increase
Market
Share
3. Preserve Brand Image
15 % revenue Growth
MBT-12%

6. PRO-X1
(Best) S-X1 D-X1 C-X1
(cheapest)
52% Retailer
Margin
Marketing Mix
Product Mix

7. • Great sales team Sales team 8 account managers, 1 visit/ month,
incentive program
• Advertising : 4% of sales (4 Million)
•National advertisements, Magazines & Newspapers
• No co-operative advertisements.
• 52% Margin
• Pricing : not $199.99 but $200.00
• Objective : Not only to increase trade, but to broaden customer
base & stimulate excitement for brand.
Distribution, Promotion, & Pricing

8. Consumer Research
2003
(all customers)
Importance…
Quality > Features >
Price > Brandname
2004
1500 own Customers
75% 30-55 Yrs
82% Women
70% - Income over $75k
60% - Cooking hobby
2005
(Telephone survey, Who
purchase Cook ware)
Brand awareness
•15% in less than $75k
Income group
• 25% in above 75k$
income group
•Only 4 %
seen
advertising

9. Case Facts
18%
14%
6.5%
4%
3%
55.50%
Market Share
Star Chef
Kitchen Select
Culinarian
Le Gorurmand
Robusto
Other
• 3.36bn $ industry
• 104 mn$ revenue of the company in 2005
• 4mn$ advertising expense
• 184987 units sold in 2004
• 56% customers felt price disc. Is important

10. To Offer Price
promotion or Not?
21 % growth
target
Wrong
estimation
of 2004
campaign
results
To maintain
Premium
Brand image
No free gifts as
promotion as
retailers don’t
like it
Problem Defined

11. Pros & Cons of Price Promotions
• Victoria is in Support
• 2006 aim is to increase revenue by 21%
• Sales force complain, Retailers demanding
30 % price promotion to boost awareness
• New Customer engagement
• 56% customers in 2004 research told that
price discount encouraged buyng decision.
15% Ready to upgrade
• Donald Janus supported
• 2004 price promotion had negative
impact on sales according to Donald
• Image may be harmed
• Full discount don’t reach to actual
customers
Pros
CoNs

12. Conclusion
• To get endorsed by Professionals.
• Cash Back schemes
• Partnership with financial services, 0% EMI schemes
• Co-operative Advertising
• Launch extra premium Range, Culinarian Super