Premium Essay

Brannigan Foods Case

In:

Submitted By manemane
Words 3471
Pages 14
Executive Summary The U.S. Soup Market has been facing a decline in its profitability and sales over several years. The newly emerging consumer trends place higher importance in health, diet, and convenience, and products that benefited these areas are being popularized. Even as the biggest company in the soup industry, Brannigan Foods has been facing a fall in its sales, market share, and profitability in the soup division for the last three years. The loss in market share is likely due to Brannigan’s lack of adjustment to the new consumer trends that have been arising, which many other companies have been able to do. Many small companies have been offering innovative product lines in the soup market which have paralleled the consumer trends and therefore have been receiving positive result, which explains Brannigan’s market share decrease in the industry. Furthermore, there have been increases of Private Labels offered by retailers, which have also been taking Brannigan’s market share along with its shelf space in retail stores. Some of these new products include premade “deli soups”, dry-mix soups, and microwaved packaged soups. Bert Clark, VP and GM of Brannigan Foods’ Soup Division, is to come up with a solution to reverse falling profitability and increase profits by 3% by the next year. After reviewing the suggestions made by his four key managers, the recommendation is that Clark follows Anna Chong, the Chief Innovation Officer’s suggestion of investing in the organic growth from internally developed new products. With increased investment in R&D along with A&P, Brannigan Foods would release new product lines in the soup market that address the consumer trends. The most anticipated product releases will be “To-Your-Health RTE Chicken Noodle” and “Fast-and-Simple

Similar Documents

Premium Essay

Marketing Case Report: Brannigan Foods

...BRANNIGAN FOODS STRATEGIC MARKETING PLANNING Juan  Manuel  Restrepo  Davies   Mª  Concepción  Aragonés  Cabeza   IE  Business  School   AGENDA 1. Problem statement 2. Situation analysis Five C’s Porter 5 forces SWOT 3. Alternatives 4. Recommendations Implementation plan Marketing strategy Marketing Mix Digital marketing 5. Take aways 1. PROBLEM STATEMENT GOAL INCREASE 3-4% PROFIT Industry Decline Brannigan’s sales, market share, and profitability decline 2. SITUATION ANALYSIS FIVE C’S ANALYSIS BRANNIGAN SOUPS Cash  cow,  40% of  total  sales   Products   RTE   Dry  Soups   Healthier  Soups  and   Fast  &  Simple  Meals     Anabelle     Brand  awareness  and  value  percepKon  behind   compeKtors     CUSTOMERS -­‐  Baby  Boomers,  Younger  &  Working  Mothers   -­‐  InnovaKons  and  new  flavors   COMPETITORS -­‐  New  small  compeKtors     Roarin’  Cajun  Foods   Red  Dragon  Foods   Brothers  Gourmet   -­‐  Private  Labeled  soups  increasing  their  sales  by  5%     Less  shelf  space  -­‐3%   COLLABORATORS -­‐  Decreasing  Brannigan’s  shelf  space   CONTEXT -­‐  Sector  sales  have  been  decreasing     -­‐  The  loyal  populaKon  (baby  boomers)...

Words: 1395 - Pages: 6

Premium Essay

Brannigan Foods Case Analysis

...BRANNIGAN FOODS: STRATEGIC MARKETING PLAN Mitchell Lunde University of Maryland University College MRKT 495 21/10/2013 Table of Contents Executive Summary Company/Product Analysis Problem Statement and Underlying Symptoms Bert Clark faces many challenges as vice-president and general manager of Brannigan Foods’ Soup Division, but nothing could have prepared him for what he recently read. A critical analysis of the entire soup industry indicated the situation as dismal and with no end in sight. Because of the increased health concerns amongst American consumers and the perception of most soups as being high in sodium and full of preservatives, many consumers have either stopped buying soup entirely, or have moved to fresher, healthier soups. Not only is the report slightly negative, but the company’s own market share, sales, and profitability has been slipping for the past three consecutive years indicating only one thing: new strategies had to be implemented in order to subside the downward spiral. The people he depended most on in his division had all provided their own careful analysis and recommendations, but despite their efforts, there was no comprehensive solution amongst any of the recommendations. There was however one point which Clark felt was his division’s most pressing need: in order for the company to grow, it had to target products to a younger audience despite the fact older segments consumed a majority of condensed and ready to eat (RTE)...

Words: 2849 - Pages: 12

Premium Essay

Case

...BRANNIGAN FOODS STRATEGIC MARKETING PLANNING CASE SOLUTION PDF Copyright © 2014. All Right Reserved BRANNIGAN FOODS STRATEGIC MARKETING PLANNING CASE SOLUTION PDF Download: BRANNIGAN FOODS STRATEGIC MARKETING PLANNING CASE SOLUTION PDF Are you trying to find Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF?. You will be happy to recognize that today Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF is offered on our on-line collection. With our on-line resources, you will certainly be able to locate Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF or practically any sort of sort of manual, for any kind of type of product. Best of all, they are completely complimentary to find, use as well as download and install, so there is no price or anxiety in any way. Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF may not make exciting reading, however Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF is stuffed with valuable guidelines, information and warnings. We have made it very easy for you to locate a user manual with no digging. And by having access to our manual online or by storing it on your computer system, you have hassle-free answers with Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF. To obtain begun locating Ebook Brannigan Foods Strategic Marketing Planning Case Solution PDF, you correct to locate our site which has a comprehensive collection of Ebooks...

Words: 1371 - Pages: 6

Free Essay

Brannigan Case

...Brannigan Foods – Case Study 1 Brannigan Foods is the leading brand in the soup industry, but has been experiencing declines in every aspect of their division. The primary problem is that Brannigan Foods sales, market share, and profitability has slipped in the last three years. One of the only reasons they have been able to keep up their sales is due to them increasing their product prices, resulting in a plateau of sales. The secondary problem consists of Brannigan foods not reaching out to other target markets besides the Baby Boomers (1946-1964) and they are completely missing the Millennials (19-30). There are a few conventional alternatives that would work best for Brannigan Foods, the first being from Srikant Tipha, Director of the Simple Meals unit consists of reinforcing awareness of the new items and introducing trial by upping the advertising investment in Fast & Simple soup meals and the Heart Healthy soup line, providing promotional couponing and sampling of the hot new flavors in the dry mix of Gazpacho and Teriyaki Beef Fast & Simple meal, which will help Brannigan break into and grow in the Asian soups category. The last part of her plan is to continue to promote dry soups even if they will cannibalize RTE soups. Another alternative comes from Bob Pugh, VP Sales and Marketing of Brannigan Soups. He believes a good alternative would be to take a five cent price-per-can cut on the core ready-to-eat wet soups, increase the A&P budget by $20MM to restore...

Words: 715 - Pages: 3

Premium Essay

Brannigan

...Brannigan Foods Case Study Exercise 1. BRANNIGAN FOODS STRATEGIC MARKETING PLANNING IE Business School Juan Manuel Restrepo Davies Mª Concepción Aragonés Cabeza 2. IE Business School PROBLEM STATEMENT Bert Clark, vice-­‐president and general manager of Brannigan Food Soup’s Division, has to decide which of the four alternative plans his team members have proposed should be implemented in order to reverse the industry’s steady decline as well as the division’s sales, market share, and profitability decrease for the last three years. He has to move the division’s growth back to a 3-­‐4% at the end of the fiscal year. ANALYSIS OF THE SITUATION Company: Brannigan is a company that has been operating for over 100 years. It has a Soup Division which has experienced a decrease in its profitability and needs to create a new strategy to stop the declining sales and market share it has been experiencing. It is important to highlight that the soup division is the cash cow (according to the Boston Consulting Group product matrix) of Brannigan Foods, reaching up to 40% of the company’s total sales. The most profitable product category this division has is the Ready to Eat ...

Words: 5198 - Pages: 21

Premium Essay

Brannigan Foods

...Brannigan foods had been a major player in the food industry, but with the recent downward trends in sales and profit margins, a rapid change in the operations and management of the company is needed. As the division head, finding a strategy, which will not only increase sales and profit margins but also reduces the risk levels in the company is my top priority. With the help of the four division managers, I am confident that I will be able to implement an effective and successful strategy for the company. The case presented by Claire Mackey one of the division managers will be of great contribution to the strategy that the firm will use to rebuild its sales and profit margins. Mackey’s report focuses on the problems that Brannigan is facing currently and specifically the declining sales volume and lower profits that the company has been recording for the past three years. Mackey is confident that by handling the current customer desires for healthier and more convenient products, the company will be in a position to increase its sales volume. His report also focuses on how the company can manage to penetrate other markets, which it has not managed to do for the past three years as well as improve the performance of the low performing markets like Southeast Asia and China. Since the report focused on the actual challenges the firm is experiencing now, it will not only be a good consideration before making the final decision on the implementation but will also assist in making...

Words: 653 - Pages: 3

Premium Essay

Brannighan Foods

...Brannigan Foods is an international food manufacturing company. The Brannigan Soup Division is faced with declining profits and a quickly changing market. In the past 16 years since the current Vice President, Bert Clark started with the company he cannot recall a more complicated challenge within his division. Brannigan is the market leader with 39.8% market share. Brannigan Foods sells approximately 63% of its soup products via Supermarkets. While they maintain the largest market share, the market (all customers) is becoming more diverse and restrictive. The Market Analysis report put forth by Brannigan’s Analyst in 2012 highlights the United States trends in soup consumption and sales. The analysis provides no real customer feedback however, it does report extensive sales data for Brannigan as well as the industry. Brannigan has core customers and core products (Ready to Eat (RTE) soups both wet and dry) that have supported their research, development and new growth opportunities for many years. These core products are reported to contribute 86% of the current profits to the division. Brannigan reports declines in sales of 1-2% per year. Despite the decrease in the sales of their core products Brannigan was able to maintain the profitability by increasing the cost to the customer. They are now at the point that competitors private label growth is surpassing their sales for the “same” products. Their core business is at risk. Bert Clark, over the years had...

Words: 1512 - Pages: 7

Premium Essay

Brannigan Food

...Case 1 Brannigan Foods Kate Wheaton Bert Clark is faced with a very serious problem and has enlisted the help of several counterparts of Brannigan Foods’s Soup Division. The soup industry has been declining for several years, and directly affecting the Brannigan division for the last three. Bert has to determine, of the four plans he received, which is the best in order to move growth back to 3-4%. The Environment: Major consumer trends affecting the industry are the concern for health and obesity. The inclining age of the most brand-loyal segment of soup consumers, the baby boomers, are seeking diets with low sodium. It’s crucial to maintain this large market segment, luckily the Heart Healthy line is positioned well with the baby boomers. Conversely, younger consumers (millennials) are needed to ensure vitality in the long run. One of the most critical aspiring trends among consumers are that of professionals and working mothers seeking fast, simple meals. The acquisition of Annabelle’s Foods helps this segment with growing sales of 12% per year. Another trend is the tastes of consumers. New flavors such as Mexican and Asian soups are gaining way in the division. An opportunity to procure these flavors is to acquire a new product line; Roarin’ Cajun Foods would secure the Mexican style soup and Red Dragon would lock down Asian tastes. If not acquired, these brands pose a threat to us in addition to Brothers Gourmet and others in the soup market. The Industry: Brannigan...

Words: 1222 - Pages: 5

Premium Essay

Brannigan Foods

...BRANNIGAN  FOODS   STRATEGIC  MARKETING   PLANNING                             IE  Business  School   Juan  Manuel  Restrepo  Davies   Mª  Concepción  Aragonés  Cabeza   IE  Business  School   PROBLEM  STATEMENT     Bert   Clark,   vice-­‐president   and   general   manager   of   Brannigan   Food   Soup’s   Division,   has   to  decide  which  of  the  four  alternative  plans  his  team  members  have  proposed  should   be   implemented   in   order   to   reverse   the   industry’s   steady   decline   as   well   as   the   division’s  sales,  market  share,  and  profitability  decrease  for  the  last  three  years.  He  has   to  move  the  division’s  growth  back  to  a  3-­‐4%  at  the  end  of  the  fiscal  year.     ANALYSIS  OF  THE  SITUATION     Company:  Brannigan  is  a  company  that  has  been  operating  for  over  100  years.  It  has  a   Soup   Division   which   has   experienced   a   decrease   in   its   profitability   and   needs   to   create   a  new  strategy...

Words: 5173 - Pages: 21

Premium Essay

Life Is Great

...Order Now Discounts Contact Us Our Guarantees Brannigan Food Case Brannigan foods had been a major player in the food industry, but with the recent downward trends in sales and profit margins, a rapid change in the operations and management of the company is needed. As the division head, finding a strategy, which will not only increase sales and profit margins but also reduces the risk levels in the company is my top priority. With the help of the four division managers, I am confident that I will be able to implement an effective and successful strategy for the company. The case presented by Claire Mackey one of the division managers will be of great contribution to the strategy that the firm will use to rebuild its sales and profit margins. Mackey’s report focuses on the problems that Brannigan is facing currently and specifically the declining sales volume and lower profits that the company has been recording for the past three years. Mackey is confident that by handling the current customer desires for healthier and more convenient products, the company will be in a position to increase its sales volume. His report also focuses on how the company can manage to penetrate other markets, which it has not managed to do for the past three years as well as improve the performance of the low performing markets like Southeast Asia and China. Since the report focused on the actual challenges the firm is experiencing now, it will not only be a good consideration before making...

Words: 663 - Pages: 3

Premium Essay

Brainaggan Foods

...KINDLEY Brannigan Foods: Strategic Marketing Planning On a rainy New Jersey morning in November, 2012, Bert Clark, vice-president and general manager of Brannigan Foods’ Soup Division, scanned his in-box for new messages. He saw that each of his four key managers had digested analyst Julian DeGennaro’s annual ‘‘State of the Soup Industry’’ summary report (Exhibit 1) and had responded to Clark’s request that they recommend their best investment bets for the division. (See Exhibit 2 for Brannigan’s product lines.) In Clark’s 16-year career with Brannigan he couldn’t remember a tougher, more complicated challenge than the one he now faced. The soup industry had been in steady decline for several years, and the division’s sales, market share, and profitability had slipped for the last three. Clark skimmed his managers’ emails, hoping for new concepts and fresh, timely arguments. Each manager had indeed sketched a proposal ‘‘most likely to turn the division around.’’ Unfortunately, the proposals bore no resemblance to each other. Clark decided to revisit DeGennaro’s report and then consider each proposal in depth. The Soup Industry in 2012 As he reviewed DeGennaro’s findings, Clark was particularly concerned about the major consumer trends affecting the sale of soup. Condensed and ready-to-eat (RTE) soups were still a staple in most diets in the United States. However, the growing concern about health and obesity had led to a reduction in processed foods in general...

Words: 5580 - Pages: 23

Premium Essay

Brannigan Foods

...Brannigan Foods: Strategic Marketing Planning Advanced Marketing Management October 26, 2014 Table of Contents Introduction………………………………………………………………………………………..3 Soup Industry……………………………………………………………………………………...3 Brannigan Foods…………………………………………………………………………………..5 Competition………………………………………………………………………………………..7 Buyer Behavior……………………………………………………………………………………8 Segment Analysis………………………………………………………………………………….9 SWOT Analysis………………………………………………………………………………….11 Product Life Cycle……………………………………………………………………………….12 Growth-Share Matrix…………………………………………………………………………….14 Srikant Tipha, Category Manager - Simple Meals, “Heart Healthy” Soups Dry Soups………...15 Claire Mackey, Director of Finance and Planning……………………………………………….17 Anna Chong, Chief Innovation Officer………………………………………………………….20 Bob Pugh, VP Sales and Marketing……………………………………………………………...21 Ansoff Matrix…………………………………………………………………………………….22 Exhibits………………………………………………………………………………………..…25 References………………………………………………………………………………………..35 Introduction The following is an analysis of Brannigan Foods’ Soup Division. The analysis begins by giving the overview of the industry and Brannigan’s position within the industry. Next, a thorough breakdown of all pertinent factors is conducted to highlight the main issues regarding the soup division. The analysis concludes with a focused statement presenting Brannigan’s most significant problem. The Soup Industry Overall soup consumption in the U.S. is on the decline....

Words: 5907 - Pages: 24

Premium Essay

Awdsdsa

...BRANNIGAN  FOODS   STRATEGIC  MARKETING   PLANNING                             IE  Business  School   Juan  Manuel  Restrepo  Davies   Mª  Concepción  Aragonés  Cabeza   IE  Business  School   PROBLEM  STATEMENT     Bert   Clark,   vice-­‐president   and   general   manager   of   Brannigan   Food   Soup’s   Division,   has   to  decide  which  of  the  four  alternative  plans  his  team  members  have  proposed  should   be   implemented   in   order   to   reverse   the   industry’s   steady   decline   as   well   as   the   division’s  sales,  market  share,  and  profitability  decrease  for  the  last  three  years.  He  has   to  move  the  division’s  growth  back  to  a  3-­‐4%  at  the  end  of  the  fiscal  year.     ANALYSIS  OF  THE  SITUATION     Company:  Brannigan  is  a  company  that  has  been  operating  for  over  100  years.  It  has  a   Soup   Division   which   has   experienced   a   decrease   in   its   profitability   and   needs   to   create   a  new  strategy...

Words: 5173 - Pages: 21

Free Essay

Brannigan Foods

...and stimulate short-term financial results without sacrificing long-term growth potential. Key Decision Criteria Brannigan Foods is faced with the problem of energizing innovation and resultant company growth in a stagnating industry in which it is the market leader. Brannigan possesses a “cash-cow” in its current soup division, and must figure out a way to utilize this source of capital in order to drive growth in other sectors to ensure long-term profitability. The short-term financial goals are to increase profits by 3% over the next year, while long term goals are to stimulate growth in other areas of the Brannigan soup division’s lines of business. When considering which strategic direction to pursue with respect to possible growth strategies, Brannigan should consider shifting consumer preferences. Consumers tend to be favouring products which are perceived as being lower in sodium and healthier overall. For example, the recent growth in the Annabelle’s Foods division demonstrates that consumers are becoming more focused on a combination of healthiness and convenience. Brannigan’s should be wary when considering allocating it’s limited growth capital to initiatives such as expanding the core lines of business due to the recent negative category growth of the ready to serve wet soup and condensed wet soup markets. An additional factor that Brannigan should consider when choosing how best to move forward is the attractive growth and margin opportunities in the emerging...

Words: 449 - Pages: 2

Premium Essay

Brannigan Foods

...Case: Brannigan Foods: Strategic Marketing Planning 1. Problem Statement November 2012: Following three consecutive years of slipped sales, market share and profitability, Bert Clark, vice-president and general manager of Brannigan Foods’ Soup Division, is given a high priority task: He must decide on which marketing strategy shall the company take in order to: * achieve short-term numbers needed * US Soup Division profit growth of 3% in 2013 * strengthen the long-term direction of both company and its most reputable brand 2. Situation Analysis – Market Summary Regarding customer behaviour and market trends, important insights arise from analysing Julian DeGennaro’s (Brannigan Market Analyst) summary report. Starting with customer behaviour it can be said that, at least, 3 out of 4 consumers recognise canned food as useful to have at home, point cold weather as a trigger for eating soup and agree that soup is part of a healthy diet. Moreover, soup consumption in U.S. household averages 1.4 cans per week, with the segment of 18-24 average rising up to 2.1 cans/week. Concerning market trends, it can be said that soup is still regarded as a seasonal buy and a low-innovation product. Yet, it is noteworthy that Healthy-living solutions have been pointed as a need for children, among whom obesity concerns are especially important. Senior consumers, who have been described as brand loyal and heavy soup users, also show growing health concerns and tend to...

Words: 2604 - Pages: 11