Pemberton is launching a new salt cracker brand called Krispy Naturals to enter the US cracker market. Previously, Pemberton had launched Krispy crackers but it failed due to regional branding, limited flavors and product lines. For its relaunch, Krispy Naturals will offer multiple servings, 100% natural ingredients, and new flavors. It will utilize premium pricing strategies, heavy advertising, and Pemberton's direct store distribution system. Initial testing of Krispy Naturals' new flavors found 77-92% positive results and a four to one recommendation rate.

1. LAUNCHING
KRISPY
NATURALS

2. ASHLEY MARNE
Executive V.P. for sale and marketing at Pemberton
BRANDON FREDRICK
Marketing Director for Pemberton

3. ABOUT
PEMBERTON
Snack food division of Candler
Enterprises, big time snack,
beverage manufacturer.
1
2
CAGR of 14% on revenue since
last five years..
3
4
Uses Direct Store Delivery
methods for distribution.
5
U.S. market leader in cookies
and Bakery snack segment.
Revenue of $5 Billion (27.77%)
with 7.7% Profit after Tax.

4. ABOUT
CANDLER
CANDLER PET CARE
BEVERAGE
PEMBERTON
RESTAURENTS

5. PEMBERTON
STRATEGIC PRIORITIES
Become a big time player in Salt
cracker Industry.
Thus making a collection of
strong, durable brands.
Implement Leadership Marketing.
Using Direct Store Distribution
system to multiply overall profits.
Acquiring capabilities in food
industry and make a brand value
for itself.

6. WHY
INDUSTRY OF
SALT-CRACKER?

7. U.S. CRACKER
INDUSTRY
Multipurpose Business Template
About $6.9 billion sale for 2011
CAGR increase of about 2.2% from 2008 to 2010
14% forecasted growth for ‘Crackers with fillings
Industry pulled by increasing demand for ‘Healthy
Snacks’

8. KEY COMPETITORS:
1. KRAFT FOOD INC
2. KELLOGGS CO.
3. PEPPERFRIDGE FARM

9. PEMBERTON
STRATEGY
Multipurpose Business Template
Emphasize on healthiness
More flavors Aggressive trade promotionVending machines at
convenience stores filled with
snacks
Improved taste

10. KRSIPY
LAUNCHED
AND
FAILED

11. WHY
FAILED
Regional Brand
Flavors not good
Limited product Line

12. TIME
FOR
COMEBACK
WHATEVER DOESN’T KILL YOU
MAKES YOU STRONGER, EXCEPT BEARS,
THEY KILL YOU!

13. Strength
World renowned Labs
Pemberton already a leader
Good product mix
Owned DSD
Weakness
Capacity constraints of DSD
Opportunity
Cracker market fundamental
very attractive
Consumer dissatisfaction
with current brands
Threat
Fritloy-Lays entering market
Modest increase of 1% in
southeast
SWOT

14. PRODUCT MARKETING PRICING DISTRIBUTION
TIME TO
CHANGE
BASICALLY EVERYTHING

15. PRODUCT
STRATEGY
Multipurpose Business Template
Multiple servings
100% Natural ingredientsNew flavors

16. Effective adoption of pull market
strategy
MARKETING
STRATEGY
Emphasized on heavy
advertisements
Price discounts offered initially

17. PRICING
STRATEGY
Premium Pricing Strategy
They matched competitor’s price on retail part
Visual Price Image- Bit less quantity for same price so it looks premium

18. Effective DSD Longer shelf life
of cracker
Krispy Force Of
Proper
Distribution
DISTRIBUTION
STRATEGY
Multipurpose Business Template

19. KRISPY SINGLE SERVE
VS KRISPY NATURALS
Multipurpose Business Template
Regional Brand
Limited Flavors
Limited Product line
Multiple serving packages
Targeting health conscious
customers
More Flavors via R&D LABS

20. RESULTS 77-92% Positive results on new flavor
Four to One recommendation

21. DISCLAIMER
Created by ANUJ GARG, DTU under an intern
Of Prof. Sameer Mathur, IIM Lucknow