More Related Content
What's hot
What's hot (20)
Similar to Truearth Healthy Foods
Similar to Truearth Healthy Foods (20)
Recently uploaded
Recently uploaded (20)
Truearth Healthy Foods
- 1. TRUEARTH HEALTHY FOODS ANAND SHANKAR V RAJIV RAJENDRAN SAHIL KHANNA DONA ANNA CHERIAN AKHL CHOPRA DHWANAY SHAH NITESH GARODIA SNEH BARATIA PARITA JAVERI
- 2. TruEarth Healthy Foods • Started in 1993, by an entrepreneur DeRosa • Pioneers in providing quality, healthy and authentic pastas • Driven by innovative free willing and entrepreneurial spirit • Introduced a 60% as well as 100% whole grain pasta Cucina Fresca which was a great success
- 3. About Cucina Fresca Pasta • Launched in 2006 • Tapped the growing demand for healthy HMR efficiently • Only one strong competitor • Choices of pasta & sauces • Single meal for 2 • $35 million sales - 2007
- 4. 1. Why did Cucina Fresca succeed? • First Mover Advantage • No strong player • Unmet demand • Healthier and tastier than competitors • Quick, easy instructions, proper proportions, and suggested add-ons • Aggressive competition to Rigazzi
- 5. 2. Product Development Process
- 6. STAGES For Pasta For Pizza Idea Generation Tapping the quick HMR Threat by competition in pasta market , need for healthy tasty segment, large pizza market, whole grain options health trend Concept Screening Formal surveys like mall Concept tests, Mall intercepts, intercepts interviews of “grocery shopper” Product Development and Convenience and Variety and Home Trial through sample Testing Testing through Focus Groups kits and taste tests. without actual taste tests Quantification of Volume Customer Awareness & Customer interest and Interest. quantification of estimated Estimated sales required: $14 sales and repeat sales. million Estimated sales required - $12 million
- 7. 3. Market Opportunity for PASTA versus PIZZA PASTA PIZZA • Market-$4.4 billion in 2007 • Market-$5.8 billion in 2007 • Launched as a new brand – • Brand awareness already Cucina Fresca created due to Cucina Fresca • Is considered as a MEAL • Is considered as an • Perceived price value gap INDULGENCE was lesser • Perceived price value gap was higher
- 9. SWOT STRENGTH WEAKNESS • First Mover Advantage • Popularity of • Favorable quantified competing estimates categories • Brand awareness of • Perceived lack of TruEarth and Cucino Fresca • Large pizza market taste • Health trend • Expensive- as per study OPPORTUNITIES THREATS • Convenient health trend • Ragazzi – New pizza • Chance of lessening use concept test done. of substitutes (Ex.6) • BASES tests might be • No large player at the proved wrong leading to moment business risk.
- 10. Our Recommendation • Launch Pizza line immediately • Revisit the price of the pizza kit • Market it competitively
Editor's Notes
- Types of pastas- cut: ravioli, tortellini, linguine, The pack included pasta as well as saucesIt came in smaller packages unlike other existing pastas.
- Since it went first, it was able to grab large market share.3. Unmet demand of convenient as well as healthy food option Read PAGE 5 5thpara for detailed reasons for product success4. It was healthy as it was a wholegrain pasta, it was also tasty unlike other competing products
- 3rd stage: Major Difference- No actual pasta taste test was conducted for the BASES research for the estimation of sales and repeat sales. -Actual pizza kits were distributed in the case of the pizza line.PASTA: EXHIBIT 3,4, Table A for second and third stage stage and EXHIBIT 5 for final stagePIZZA: EXHIBIT 6,7,8 for second stage, 9 and 10 for home trial.
- 3. Since pasta is considered a meal, health is more important there but since pizza is an indulgence, people would always choose taste against just health.4. Exhibit 4 (PASTA) – only 8% felt that it was too expensive; Exhibit 9 shows 26% of favorable customers asking for a price reduction Thus, for the pizza eaters it made more sense to eat the tastier and fresher takeout rather than a healthy probably less tasty pizza
- If we don’tRagazzi will come out with it, and we will lose the first mover advantagePrice could be revisited up to 10% keeping in mind required sales of $12 millionMarket it using strong points against takeout and refrigerated normal pizza