Pemberton, a snack food division of a large multinational company, launched a new product called Krispy Natural crackers to enter the growing cracker market. Market research showed potential for a healthier cracker option. Initial tests of Krispy Natural in a single city market exceeded sales projections and gained an 18% market share through effective marketing, distribution through Pemberton's Direct Store Delivery system, and a premium pricing strategy. However, the product saw limited growth in a separate regional market launch, potentially due to insufficient marketing and brand engagement tailored for that region. Overall results indicated potential for Krispy Natural to become a successful new product line with further marketing investments and customization.
Launching Krispy Natural: Cracking the product management code Mayank Thar
It is the analysis of a Harvard Business School case about a company that initially failed to launch its product but then was able to relaunch it successfully.
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Presentation on the HBR Case Study: Krispy Natural, Cracking the PM Code completed by Karthik Prasad, BITS Goa as part pf the marketing internship under Prof. Sameer Mathur, IIM Lucknow
Crafting winning strategies in a mature market - US wine marketSaurabh Arora
The Industry Landscape in 2001
US: 4th largest wine producer in the world
US: 34th in world per capita wine consumption
Top 8 firms produce more than 75% of all the wine volume
Estimated 2500 firms produce the remaining 25%
Dominance of few large players in the low price market
Greater shelf space & high marketing budget
1990s: Consolidation of retailers and distributors across US
No of distributors fell from 5000 to 250 by 2000
Only 50 to 100 left with access to widespread national distribution
Large retail consolidation in US
Top 10 supermarkets control 55% of the US market in 2000
Majority of producers are focused on low volume/high price to gain maximum return/margin
Distributors are focused on high volume/low price to maximize economies of scale
Near impossible for a new company to establish itself
Low barriers invite more players to wine market
Porter’s five forces analysis
Threat of new entrants – HIGH
Low barriers to entry for new players in wine industry
Firms spent 40% of their expenditures on marketing and distribution
Existing rivalries in industry – HIGH
Total no of wineries in US increased by more than 400%
Glut of grape supply due to low growth in demand
This put downward pressure on price and margins
Bargaining power of Buyers – HIGH
More players are entering the market
Production outstripped demand by 20%
Consolidation of retailer and distributor
Bargaining power of Suppliers – LOW
Wine producers with their own vineyards attempts to control the operations starting from production to distribution
Threat of Substitutes – LOW for Budget
Only 10% people drank wine regularly
Of the remaining 90%, 46% preferred beer or spirits
35% drank alcoholic beverages other than wine
Launching Krispy Natural: Cracking the product management code Mayank Thar
It is the analysis of a Harvard Business School case about a company that initially failed to launch its product but then was able to relaunch it successfully.
Toko Bunga Surabaya, Jual Karangan Bunga Surabaya, Jual Bunga Papan Surabaya, Jual Bunga Ucapan Surabaya, Jual Rangkaian Bunga Surabaya, Jual Buket Bunga Surabaya, Bunga Ucapan Selamat, Bunga Ucapan Duka Cita, Bunga Papan Selamat, Bunga Papan Duka Cita
Presentation on the HBR Case Study: Krispy Natural, Cracking the PM Code completed by Karthik Prasad, BITS Goa as part pf the marketing internship under Prof. Sameer Mathur, IIM Lucknow
Crafting winning strategies in a mature market - US wine marketSaurabh Arora
The Industry Landscape in 2001
US: 4th largest wine producer in the world
US: 34th in world per capita wine consumption
Top 8 firms produce more than 75% of all the wine volume
Estimated 2500 firms produce the remaining 25%
Dominance of few large players in the low price market
Greater shelf space & high marketing budget
1990s: Consolidation of retailers and distributors across US
No of distributors fell from 5000 to 250 by 2000
Only 50 to 100 left with access to widespread national distribution
Large retail consolidation in US
Top 10 supermarkets control 55% of the US market in 2000
Majority of producers are focused on low volume/high price to gain maximum return/margin
Distributors are focused on high volume/low price to maximize economies of scale
Near impossible for a new company to establish itself
Low barriers invite more players to wine market
Porter’s five forces analysis
Threat of new entrants – HIGH
Low barriers to entry for new players in wine industry
Firms spent 40% of their expenditures on marketing and distribution
Existing rivalries in industry – HIGH
Total no of wineries in US increased by more than 400%
Glut of grape supply due to low growth in demand
This put downward pressure on price and margins
Bargaining power of Buyers – HIGH
More players are entering the market
Production outstripped demand by 20%
Consolidation of retailer and distributor
Bargaining power of Suppliers – LOW
Wine producers with their own vineyards attempts to control the operations starting from production to distribution
Threat of Substitutes – LOW for Budget
Only 10% people drank wine regularly
Of the remaining 90%, 46% preferred beer or spirits
35% drank alcoholic beverages other than wine
A marketing Case Study of Natureview Farm, an organic yogurt manufacturer. This analysis was performed by E. Santhosh Kumar, IIT Madras, during an internship with Prof. Sameer Mathur, IIM Lucknow.
This is a presentation on a Case Study done during my internship at IIM-Lucknow. The case analysed is- Launching Krispy Natural: Cracking the Product Management Code
A marketing Case Study of Natureview Farm, an organic yogurt manufacturer. This analysis was performed by E. Santhosh Kumar, IIT Madras, during an internship with Prof. Sameer Mathur, IIM Lucknow.
This is a presentation on a Case Study done during my internship at IIM-Lucknow. The case analysed is- Launching Krispy Natural: Cracking the Product Management Code
A Harvard Business School Case Study- Launching Krispy Natural: Cracking the ...Sumedha Uppal
Analysis of the Case Study giving answers to probable questions for deep understanding of the case. Looking at the marketing strategies and unlocking the management code.
The presentation was made under the guidance of Prof. Sameer Mathur of IIM Lucknow
Launching Krispy Natural : Cracking The Product Management CodeShubham Roy
This Harvard Business Case was analysed by Shubham Roy, from Netaji Subhas Institute of Technology during a remote internship under Prof. Sameer Mathur, IIM Lucknow.
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Mastering Multi-Touchpoint Content Strategy: Navigate Fragmented User JourneysSearch Engine Journal
Digital platforms are constantly multiplying, and with that, user engagement is becoming more intricate and fragmented.
So how do you effectively navigate distributing and tailoring your content across these various touchpoints?
Watch this webinar as we dive into the evolving landscape of content strategy tailored for today's fragmented user journeys. Understanding how to deliver your content to your users is more crucial than ever, and we’ll provide actionable tips for navigating these intricate challenges.
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2. Find ways to show EEAT
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3. Introduction
• Pemberton was the snack food division of
Candler Enterprises, a multinational
beverage and snack goods manufacturer.
• Had a revenue of 5 Billion USD with 7.7%
Profit After Tax (PAT)
• Pemberton was a market leader in the U.S.
cookie and bakery snacks segments of the
sweet snack market.
• Company harnessed its owned Direct Store
Delivery (DSD) distribution system to deliver
products directly from the distribution
centers to the retail stores.
Candler
Enterprises
($ 18
Billion)
Beverage
Division
A Quick
service
restaurant
division
Pet care
division
Pemberton
(snack food
division)
4. Pemberton’s income as a percent of sales for 2011 :
Category % of sales
COGS (cost of goods and services) 78.8%
Brand Advertising and Marketing 7.7%
Taxes 5.8%
Profit after tax 7.7%
TOTAL 100%
5. Key strategic
priorities:
1.Leveraging leading
marketing, sales and
DSD systems to
increase revenue and
profits
2.Building a
collection of
attractive, durable
brands
Current situation
6. To launch and sustain
the growth of krispy
natural , We have to
perform market
analysis
7. The U.S. Cracker Industry
• Retail cracker sales in the United States reached an
estimated $6.9 billion in 2011.
The growth rate for the overall cracker industry
from 2008 to 2010 was approximately 2.2%
CAGR
9. “All Other” Crackers segment experienced a 2.1% CAGR for period
from 2008 to 2010
The U.S. Cracker Industry
2009 share 2010 share
Kraft 37.8% 37.0%
Kellogg 28.9% 28.1%
Pepperidge Farm (Goldfish) 13.9% 14.2%
Private Label 4.6% 4.8%
Other 14.8% 16.0%
10. After flat sales from 2005 through 2009, the crackers with fillings
segment experienced strongest growth ~14% in 2010
The U.S. Cracker Industry
2009 share 2010 share
Kraft 34.7% 32.7%
lance 31.5% 29.9%
Kellogg 15.5% 21.0%
Private Label 8.0% 8.2%
Other 10.2% 8.1%
11. Krispy Single line: Launch
Single serve sales : Plan vs Actual
In 2008, Pemberton took first step to enter the salty snack market with the acquisition of Krispy
Inc., Krispy products were marketed as mobile, “ Grab and Go” snacks with a strong presence in
vending machines and convenience stores.
Plan 2009 Actual % to plan
Krispy Retail $97.5 $50.8 52.1%
Krispy Vend $23.4 $18.0 76.9%
Total Krispy Single-Serve $120.9 $68.8 56.9%
12. Krispy Relaunch
After a huge failure (~50% achieve), company introspected and planned
accordingly:-
• Pemberton R&D labs were engaged to improve the product taste
and quality.
• Rebranding as Krispy Natural, to attract health conscious
customers.
• Extending product line beyond single serve and introducing more
flavors.
13. • After many trials - The test result showed 77%-92% positive purchase
intent for new Krispy Natural Flavors.
Now, Krispy naturals expected a minimum sales of $500 million during
year one of national distribution and a steady-state pre-tax profit
contribution of at least 13%
($ in millions) Year 1 Year 2 Year 3
Dollar Sales $500 $580 $700
Growth 16% 21%
Dollar Share 9% 10% 11%
Krispy Relaunch : forward
Projections
16. Competition analysis
• Top 3 competitors are :- Kraft
Food Inc, Kellogg Co. and
Pepperfridge farm accounting
for total of 75% market share
• Also, Frito-Lay is rumored to
be introducing a new full line
of crackers
19. STRENGTHS
1. World renowned product
development labs.
2. Product mix.
3. Company owned DSD
WEAKNESSES
1. Capacity constraints of
DSD for Krispy natural
products.
OPPORTUNITIES
1. Market research shows
consumer dissatisfaction
with favour and taste
experience of current
cracker brands.
2. Cracker market
fundamentals were
attractive
THREATS
1. Fritto-lays entering the
cracker market.
2. Modest increase of 1%
sale in southeast.
22. 2.Marketing
• Emphasized on heavy advertising
• Promotion to the end customer and appealing to the trade
• Aggressive plans for pull spending and trade promotions
23. 3. Distribution:
• Effective DSD (Direct-Store Delivery) distribution system
• Proper management of shelf inventory and in-store
merchandising. The distribution logistics of the new product mix
of crackers and cookies/sweet baked goods
• Optimizing the system to account for longer shell life of crackers
4. Price:
• Sought a premium strategy.
• Priced at 155% above the category average cost per ounce
• Same retail price as that of competitors but lesser quantity
Marketing strategy
27. Marketing plans
• Marteking Plan for Columbus
Sell completely new line of
products and special crispy force
representatives hired
These “Krispy Force” reps.
worked with Pemberton regional
and district sales managers and
focused solely on selling the new
Krispy Natural product line.
• Marketing Plan for SouthEast
ability to reposition the product to
offer a more premium offering
The Pemberton DSD route
delivery representatives worked
with regional and district sales
managers, handling sales and
service of the new Krispy Natural
line.
28. Why Krispy’s market share in Southwest
didn’t increase significantly ?
Columbus was able to achieve an 18% market share by stealing share
from other competitors.
However in Southeast the trade was generally receptive to the new
Krispy Natural line due to the relatively low introductory trade case
discount of 15%.
29. Sales and Channel responses
The channel played a key role .
Midwest division sales manager Wanda Fitzgerald explained “We have great
relationships with the trade:
1) Our DSD reps are in the stores every week and the store managers respect our
knowledge of the business.
2) The large chain headquarter buyers were particularly impressed with the consumer
research results and inventory turn estimates for Krispy Natural.
3) The pull marketing really created a buzz and customers were coming to the stores
asking for Krispy Natural by name.
4) They also loved all the promotional activity and consumer advertising.