...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....
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...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 is in...
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...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...
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...MGMT 555 | | Strategic Marketing Planning | Khalid S. Mizyed 2-5-2015 | Bert Clark, is the VP and general manager of Brannigan Food Soup’s Division. The responsibility of deciding which of the four options his team members have proposed is now in his hands. His choice should be implemented to reverse the industry’s steady decline as well as his division’s sales, market share, and profitability decrease in the last 3 years. His ultimate goal is to generate a 3-4% growth rate, for the year. Situation Analysis SWAT Analysis Strengths * Current market leader with highest market share. * 100 year old brand with high brand awareness. Weaknesses * Sales has been decreasing for the past 3 years. Opportunities * Owns new products that are in line with customer demand and favor. * Generate creative solutions with retailers to create win-win situation. Threats * Private label growth, and retailers demand for retail space. * Lack of effective targeting, segmentation and positioning has caused a big gap between product offering and consumer demand. 5 C's Analysis Company * Soup division makes up 40% of total sales. * RTE soups are highest in this category with 71% of total revenues. * Broke into the fast meal category by acquiring Anabelle. Customers * Baby Boomers are the largest and most loyal segment, with evolving preferences and a higher demand towards low healthier low sodium based products. * This added...
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...BRANNIGAN FOODS In this case, Bert Clark, vice-president and general manager of Brannigan’s Foods’ Soup division has been tasked with analysing the investment recommendations from his four key managers. Their proposals are based on the review of Julian DeGennaro’s annual ‘State of the Soup Industry’ report; as well as on Brannigan’s financial statements from previous years. In DeGennaro’s report, we notice that the sluggish economy is a good incentive for consumers to eat at home – with soup being an economical option, especially during the colder months. There are noted to be high growth rates in convenient and healthy products to cater to consumer’s needs. As a whole, Brannigan’s is not currently viewed as a health-conscious or diet-friendly brand, however they remain perceived as a leader in soup sales and retain a loyal consumer segment with the aging population. The manager’s proposals focus on some of the market trends, and the strengths and weaknesses of Brannigan’s brand. Below, we have ranked the four proposals based on our qualitative and quantitative analyses of each scenario to identify which proposal should be favored by Clark and which would be most viable for the company absent any resource constraints. A positive aspect highlighted by Pugh would be that modernizing the manufacturing plant would require a $22 million investment, but would ultimately generate profits and be considered an asset on the Balance Sheet. Furthermore, reintroducing the...
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...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...
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...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...
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...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...
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...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)...
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...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)...
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...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...
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...Analysis: * Company; Enthaice restaurant is the food establishment start up Thai restaurant in NYC. It will be located in Upper East Side, Manhattan, and NYC area. It will serve authentic traditional Thai food, providing the best experience at a reasonable price and great environment. Enthaice is the name which played by word from “entice” which refer to attractive surrounding or arousing hope and desire. The name was create for a strong brand recognition and set the restaurant apart from other competitive restaurants around the areas Enthaice is a convenient restaurant on third Avenue corner of 90th St. The restaurant is serving an authentic Thai food, wine, and beer. It will offer a modern décor and electric light in the relax environment. It will be a small warm Thai place around 30 seats. The dining room will decorate by black panel and white letter tile the other side and the wood panel in the middle. The room will be romantic set up in the dark light with candle and electric light color that can change different colors every day. Enthaice’s concept is simple and warmed with care. It will provide the perfect place to enjoy a Thai cuisine. It will offer delivery, catering, and private party. - Consumers: Target Audiences * people between age of 25-45 * Health conscious consumers who are seeking healthy dishes * Adventurous consumers who enjoy trying new foods * Consumers who enjoys Asian foods and rice dishes * Office workers and local residents ...
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...barriers fell, the CEO of Nestle Barbeck-Latmathe seized the opportunity and decided it’s the right time for Nestle to expand geographically into the developed and emerging markets such as those in Eastern Europe, India and Asia. By doing this, Barbeck drove Nestle’s performance dramatically, taking into consideration the massive number of potential customers in these regions and the enlargement in Nestle’s customer’s base. In the 1990’s; Nestle managed its environment by acquiring other companies. The companies which Neslte acquired at that time included U.S. food companies Carnation, Buitoni Pasta, Ralston Purina, Dreyer’s ice cream and Chef America, the British chocolate maker Rowntree, the French bottled water company Perrier, and the Mexican food maker Ortega. It is noticeable that Neslte regards acquisitions and efforts at diversification as logical ways to supplement their business. Nestle only acquires food making companies, the business it has special knowledge and expertise in. After all, Barbeck’s intentions were to customize these products to suit the tastes of customers in different countries around the world as he was eager to enter other markets. Later, Nestle managed the environment by increasing operating efficiencies. Barbeck made many decisions to achieve this and reduce the cost of managing global operations. These decisions included cutting the work force by 20%, closing 150 factories, designing a new streamlined operating structure and using advanced...
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...Why are so many Americans drawn to fast food? Do they realize what goes on behind the scenes? The fast food industry operates by assembly lines. This means cheap labor because the workers specialize in one skill and are classified as unskilled labor. So, our fast food is cheap and we eat it because it's cheap, it fills us up and we have more money in our pockets to spend on other things. But, is this the way it should be? Fast food is the food of choice for many people because engineers have skewed it to be cheap only to make healthy food become more expensive. In my opinion, organic foods are what we should be putting in our bodies. But the problem is these foods are very expensive. My solution is better regulation of the fast food industry with stricter laws for hiring and producing quality foods. Unfortunately, it's not just the fast food industry that is ruining Americans health. The meat industry needs better laws and regulations as well. The average person eats 200 lbs of meat per year but if they knew how the animals are treated and what they're being fed, I believe they would reconsider what they're eating. Chickens are being fed antibiotics to make them grow faster and fatter. The slaughtering conditions are many times horrendous with workers treating the animals with no respect and abusing the animals. The reasons for much of this mistreatment is due to the fact that the workers themselves were unhappy with the way they were being treated and would get...
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...this on many issues; I do not believe that my stance on off shore drilling is an issue of stereotyping. I have reassured my stance by reading and researching this stance. As stated in a USA Today article (Jervis, Welch, & Wolf, 7/14), “When oil is brought up from beneath the ocean floor, other things are, too. Chemicals and toxic substances such as mercury and lead can be discharged back into the ocean”. The oil and chemicals are harming sea mammals and the water they live in. The other problem off shore drilling is the chance of oil spills. In April 2010, the BP oil company encountered an oil spill in the Gulf that lasted for about 3 months. Chemicals from offshore drilling combined with oil from spills have had an effect on the food we eat. Sea food lovers are seeing the effects in the pocket books;...
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