Pemberton, a snack food division of Candler Enterprises, wanted to relaunch its Krispy brand with a new natural product line called Krispy Natural. Initial tests in Columbus and the Southeast showed mixed results, with Columbus doubling its market share through aggressive promotions but the Southeast only gaining 1% despite the brand's prior presence. The document analyzes these test market results and considers strategies for broader rollout, including emphasizing quality, flavor, and variety; easy availability; keeping brand promises; and using catchy taglines to revitalize the brand. It also discusses strategies that would be needed to directly compete with Frito-Lay, such as package deals, discounts, and expanding the product line while maintaining quality

1. LAUNCHING KRISPY NATURAL:
Cracking the Product Management Code

2. BACKGROUND
1

3. Candler Enterprises
PEMBERTON
~ Snack Food Division of Candler Enterprises
~ Pemberton was a market leader in the U.S. cookie and bakery snacks segments of the
sweet snack market

5. 2

6. 75%
9%
9%
6% 1%
Cracker Sales
General Saltiness
Crackers with fillings Graham Crackers
Other segments

7. MARKET FORMULA
Growth market was driven by
Flavor based product line
+
Marketing Emphasis on healthiness
3

8. KRISPY LINE
~Pemberton acquired Krispy in 2008
KRISPY SINGLE SERVE
~ Operated 3 production plants
~ Known as a Regional brand (Distribution focused on South
Eastern US)
~ Products marketed as “ Grab & Go”
~ In 2009, the product fell short of management projections
4

9. UNDERPERFORMANCE OF KRISPY
Limited Product Line
No flavor satisfaction

10. 5

11. Deeper Analysis of Cracker market was performed
Market was found to be LARGE
“Crackers with Filling”  GROWING segment
“Kraft” Appeared to fall back with other brands
Consumer dissatisfaction with existing flavor of cracker
brands
• KRISPY Rebranding
• Marketing strategies - improved to enter the market
• R&D labs - improved to enhance quality and taste
• Extension of product line

12. KRISPY “NATURAL” 6
Whole wheat ,natural ingredients
Proper Proportion of

13. PULL

14. DISTRIBUTION
 DSD Distribution
 Operational tests  To analyze
distribution logistics
 Enable Longer shelf life

15. Same PRICE as competitors
BUT
LESS quantity

16. 7

18. COLUMBUS
1. No prior presence of
KRISPY
2. “Krispy Force”
Representatives assigned
3. 16- week period 9%
Market Share
4. Advertising through TV,
ONLINE,
5. 15% Discount
6. In store Sampling with
Coupon
SOUTH EAST
1. Already established as
Single- serve product
2. Increase in share from 9-
15%
3. Advertising and promotion
similar to Columbus plan
4. No separate representatives
5. Reposition the market to a
more premium pricing

19. COLUMBUS
~ 18% Share  Doubling the
share market!
~ Category volume increased
by 30%
SOUTH EAST
~ Only 1% increase in market share
~ Little category expansion

20. DIFFICULTY IN RE-ESTABLISHING THE
PRODUCT IN A CITY WHICH ALREADY
HAD A FOOTHOLD OF THE BRAND

21. 8

22. Was Marne’s view of BLOCKBUSTER
potential of KRISPY NATURAL supported
by the data?
Perception varies
Not very reliable on a larger scale
because only the quality of the product to
get the customers shouldn’t be an option

23. Best ROLLOUT strategy to neutralize the
competition?
Pull Strategy
Promotional activities emphasizing quality, flavor and Varieties
Easy availability of product
Keeping brand promises and publicizing them
CATCHY TAGLINE- For revitalization

24. How should the ROLLOUT strategy
CHANGE if they were trying to go head
to head with FRITO-LAY?
Introduce coupons and package deals
Discounts and promotions
Increase product line with no compromise on quality to improve
BRAND EQUITY

27. Created by Jahnavi Kaza , GNITS, during a marketing internship by Prof. Sameer
Mathur, IIM Lucknow