...beverage similar to that of Coca-Cola (or Coke) to soft drinks. However in recent years, other manufacturers started to challenge NESVITA Cereal Milk Drink, low-priced brands targeted to different age groups as well as different Socio Economic Class (SEC) of the market. One of the biggest threats of the product, PT Kakao’s Energen, has been gaining a lot of momentum in terms of market share due to its positioning as well as pricing. The product was initially distributed to sari-sari stores, market stalls as well as small groceries in Visayas and Mindanao but is now slowly being introduced to the supermarkets, groceries, conveniences stores as well, channels wherein NESVITA Cereal Milk Drink is currently present1. NESTLÉ recognized the emerging threat of Energen to its NESVITA business but also realized that NESVITA may not be the right brand to challenge Energen due to its positioning and pricing strategy. This was the reason why in March 2008, NESTLÉ launched a low-priced cereal beverage under the mega brand BEAR BRAND called Busog Lusog Cereal Drink which is targeted to lower SEC’s as well as the whole family. The entry of BEAR BRAND Busog Lusog Cereal Drink proved to be a great strategy in challenging Energen in the bottom of the pyramid...
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...beverage similar to that of Coca-Cola (or Coke) to soft drinks. However in recent years, other manufacturers started to challenge NESVITA Cereal Milk Drink, low-priced brands targeted to different age groups as well as different Socio Economic Class (SEC) of the market. One of the biggest threats of the product, PT Kakao’s Energen, has been gaining a lot of momentum in terms of market share due to its positioning as well as pricing. The product was initially distributed to sari-sari stores, market stalls as well as small groceries in Visayas and Mindanao but is now slowly being introduced to the supermarkets, groceries, conveniences stores as well, channels wherein NESVITA Cereal Milk Drink is currently present1. NESTLÉ recognized the emerging threat of Energen to its NESVITA business but also realized that NESVITA may not be the right brand to challenge Energen due to its positioning and pricing strategy. This was the reason why in March 2008, NESTLÉ launched a low-priced cereal beverage under the mega brand BEAR BRAND called Busog Lusog Cereal Drink which is targeted to lower SEC’s as well as the whole family. The entry of BEAR BRAND Busog Lusog Cereal Drink proved to be a great strategy in challenging Energen in the bottom of the pyramid...
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...global producer of packaged consumer foods that was founded in 1928 (General Mills, 2014). General Mills is the world’s sixth largest food manufacture and the second largest producer of breakfast cereal in the United States. The company makes products in 15 countries and manages 40 production sites in the United States (General Mills, 2014). Within these sites, it employs about 35,000 workers, which allow the company to sell its products in more than 100 countries besides the Unites States. The company’s mission can be stated in two words: Nourishing lives. The company also has a strong international presence, selling its products in more than 100 countries. General Mills operates within three segments: US Retail, International, and Bakeries and Foodservice (General Mills, 2014). The company participates within the Cereal Production industry through its US Retail segment, which includes ready-to-eat cereal, organic cereal, granola bars and grain snacks. The cereal segment of its business is the most significant source of revenue, representing about 23% of US retail sales. Furthermore, it is estimated that US industry-specific revenue will grow at an annualized rate of 3.8% to $2.5 billion during the five years to fiscal 2013 (General Mills, 2014). Industry Analysis: Internationalization The breakfast cereal industry acquires raw materials such as corn, wheat, flour, sugar, malt extract, rice and salt from various sources and processes these ingredients into ready-to-eat cereals...
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...(Kellogg or ‘the company’) is a multinational producer of breakfast foods, snack foods, cookies and crackers. The company also manufactures and markets ready-to-eat cereals and convenience foods such as toaster pastries, cereal bars, fruit snacks, frozen waffles and veggie foods. It is headquartered in Battle Creek, Michigan and employed about 30,700 people as of December 31, 2011. Indeed, with the recent acquisition of the Pringles business, the company further strengthened its position in the global snacks market and became the second largest snacks producer in the world, as per the latest industry estimates. Kellogg was named as one of the most trusted cereal brands in Canada by a leading publishing company, and as one of the top five marketers globally by a global publishing company. The company has been recognized by several international organizations for its brand equity. Kellogg Company continued to execute a strategy based on fundamental strengths, including expanding family of megabrands, strong global opportunities, a powerful pipeline of product innovations, and people across the globe that can put all of these assets to work. Kellogg Company executes strategy across four tracks. 1. Remain a global leader. Kellogg has a leading share in most regions and a very strong geographic footprint on which to build. This gives great opportunities to drive incremental growth in developed markets, particularly in emerging markets, where cereal is quickly becoming recognized...
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...Strategic Marketing Plan Q2 2004 – Q4 2007 Page 1 of 89 DECLARATION We hereby certify that this assignment contains no material which has been accepted for the award of any other degree or diploma in any university or equivalent institution, and that to the best of our knowledge and belief, contains no material previously published or written by another person except where due reference is made in the text of this assignment. Viraj Perera Sara Russell Ingrid Szikla ID: 18877095 ID: 18481183 ID: 13034715 Page 2 of 89 EXECUTIVE SUMMARY This strategic marketing plan specifically addresses Uncle Tobys Ready to Eat (RTE) Breakfast Cereal products in Australia over the time period starting from the second quarter of 2004 and ending fiscal year 2007 (1/10/2004 – 30/6/2008). This plan takes into account and builds on new marketing strategies for Uncle Tobys resulting from the take-over by Burns Philp in the USA. Uncle Tobys is a leading brand of Goodman Fielder, which is a division of Burns Philp Company Ltd. Until 2002, Uncle Tobys had the second greatest share of the RTE market by value with 20.3% in 2001, but has since slipped to third place at 15.9% in 2003 and is now behind Sanitarium (17.2%) and Kellogg’s (55.4%). Contributing factors were issues such as high debt and lack of effective IMC strategy. However, it is anticipated that efficiency gains from the new organisational structure will come into fruition during 2004-05, and Burns Philp’s...
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...Fast Food’s Snacking Trend Now Has Global Reach Article | 10 Nov 2011 Between value-priced items and full meals, a new product tier emerged over the past few years: Snack-sized meals, desserts and beverages that drive traffic, improve profitability and broaden restaurant appeal to the widest possible consumer base. Now, this snacking trend has grown into a worldwide phenomenon, driven by growing consumer demand for variety, value, portion control, small luxuries and new dining experiences. The trend is particularly evident in fast food, led by McDonald's and its success with specialty beverages in the US, desserts in developing markets and snack-size items system-wide. The trend offers a variety of benefits for operators that vary by market maturity: In developed markets, snacking items can be used to drive incremental traffic and take share from competitors; in emerging markets, the same can be used to appeal to lower-income consumers who may not be able to afford full meals. A focus on taking share In developed markets, the effects of the recession have left restaurant operators fighting for share in stagnating, or even declining, markets. In Japan, consumer foodservice value sales have declined each year since 2004, and in the US value has not grown since 2007. Other major markets, including France, Spain and the UK, have all shown a net decline in value since 2007, and many are expected to see this stagnation continue through 2011. As such, operators in these markets...
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...Hortons is regarded as the leading publicly traded restaurant chain in Canada. Not only is it Canada's leading quick-service restaurant brand but also the fourth largest publicly traded restaurant chain in North America based on market capitalization. They have the number one market share in breakfast and snacking day parts and a solid number two share in the lunch day part in Canada (1). However, Tim Hortons needs to pay more attention towards their growth and development into U.S. and other markets worldwide in order to become a true spearhead in their industry. Moreover, they can lessen the risks related with expansion by engaging in partnerships with other successful firms. Analysis/Rationale Although, as mentioned above, Tim Hortons is possibly the leading publicly traded restaurant chain in Canada, it enjoys its success due to its inhabitation of a much smaller market in comparison to markets in U.S., India, and China. To be the best of the lot, Tim Hortons cannot exclusively depend on a single market. In this day and age, there are solid opportunities for them to become the world’s best, through new emerging markets with high probability for huge profits. There are increasing trends of coffee drinkers in China and India, two countries with enormous fondness for Western style drinks and meals and Tim Horton's expansion in those countries will play to their advantage. That is the main reason why McDonalds, the equivalent quick service restaurant industry to Tim Hortons, is...
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...CAT FIGHT PET FOOD INDUSTRY Ralston Purina Presented By : Victor M Datta Roll No. : 08 FMS XVIth Evening Batch Guide : Dr. Jadeja Contents Scenario of Pet Food Industry in United States Ralston Purina ( NESTLE – PURINA ) PESTLE Analysis Customer Analysis Market Analysis Internal Analysis SWOT Analysis Strategy Formulation Strategy Implementation Scenario of Pet Food Industry in United States According to the 2011 – 2012 APPA National Pet Owners Survey, 62% of U.S. households own a pet, which equates to 72.9 millions homes In 1988, the first year the survey was conducted, 56% of U.S. households owned a pet as compared to 62% in 2008 Total Number of Pets Owned in the U.S. (millions) Bird 16.2 Cat 86.4 Dog 78.2 Reptile 3.0 Small Animal 16.0 Ralston Purina ( NESTLE – PURINA ) • Started as feed business in 1894 • Along with pet food, also in business of cattle feed, bakery product, batteries and cereals • USA’s largest pet food manufacturer with market share of 28% • World’s largest producer of dry dog and dry cat and semi moist cat food • Pet food division was the largest profit centre • It was 25% by sales and 45% by company’s profit Ralston Purina ( NESTLE – PURINA ) • In dog dry food, it had leading brands like Dog Chow and Puppy Chow • Industry leader in price determination • 9 plants across USA • Distribution is done through...
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...multinational food manufacturing company with its headquarters in Michigan, USA. It has manufacturing units in 18 countries and markets its products in over 180 countries. Brand Kellogg’s a global successful player serving packaged breakfast items across globe. Kellogg’s ventured in India in 1994. On its arrival, it created a new category of branded breakfast cereal products. Since then the journey for Kellogg’s has been far from easy, actually it has been so tough that it has found itself to be one of the biggest brand failures in India. In this article let us study what went wrong for the global brand, what mistakes it made and going forward what should be its strategy. Breakfast Cereal Industry: The Industry was pegged at Rs 150 crores way back in 1995 during early days of Kellogg’s. Today, this new category created by Kellogg’s is pegged at Rs 500 crores. Cornflakes account for 80% of the market, rest is shared by Oats, Muesli and Wheat Porridge. Kellogg has 70% market share i.e. 350 crores. The category has grown by only 8.4% per annum over the last 15 years. The figures are testimony to the fact that Kellogg's effort to change the breakfast habit of the Indian people, has not had as much success as it hoped for. Cornflakes for breakfast is somethings we as Indians are not used to and making us leave our idli’s, dosas and parantha’s for cornflakes is tough. However higher growth rates in last 5 years signifies that the change is now happening and it is believed...
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...Chipotle Mexican Grill in 2012: Can It Hit a Second Home Run? To: Dr. Dulek From: Yunhan Weng Subject: Chipotle Case Study I. Executive Summary…………………………………………… Page 3 II. Recommendations………………………………………..……. Page 4 III. Porter’s Five Force Analysis…………………………………… Page 6 IV. SWOT Analysis…………………………...…………………… Page 8 V. The Five Generic Competitive Strategies……….……………... Page 12 VI. P.E.S.T Analyses………………………………………….…… Page 13 VII. Key Success Factors…………………………………………… Page 15 VIII. Driving Forces…………………………………………………. Page 16 I. Executive Summary: Chipotle is a young fast food company. In early 2012, Chipotle made its first home run. As a result, Chipotle is planning to start a new project called the “ShopHouse”. The CEO of Chipotle said, “I have always believed that the Chipotle model could work well with a variety of different cuisines”. Actually, ShopHouse predicated on much the same strategic principles as Chipotle Mexican Grill. However, it offered a different menu. Chipotle was established by Steve Ells in 1993, and the first Chipotle restaurant was built in Denver Colorado. The time Steve Ells opened his first restaurant, he believed that food served fast did not have to be low quality and that delicious food did not have to be expanse. Based on this concept, Chipotle Mexican Grill appeared to the world. In early 2000, McDonald acquired an initial ownership of Chipotle. What unexpected is that McDonald’s top management decided...
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...the industry to be analysed? Is the industry global? Is the organisation mentioned Australian or overseas base? What are the key product and services segments in the industry that are mentioned in the article? Are you able to identify the stage of the industry life-cycle from the facts in article? McDonald’s Corporation operates in fast food industry with a large chain of restaurants in various countries. Unlike other restaurants, McDonald’s serves fast foods including hamburgers, soft drinks, desserts, milkshakes and French fries. McDonald’s was formed by two brothers: Mac and Dick McDonalds in California. The company experienced a fast growth, expanding to all the states in the United States before moving out to other countries. Today, McDonald’s is present in more than one hundred and twenty countries, serving the world market in fast foods. This article does not give much detail information about key product and service segments in the industry. Generally speaking, the key product in Fast food industry would be Hamburger, Fries and soft drink. And the services segment is general public. The stage of the industry Industry – Fast Food industry (Globally, based in USA) 1. Key product – 2. identifying the key service segment- Geographic – US, Europe, APMEA and Other countries (119 countries) Product segment- Hamburger, 3. What type of Organisation is McDonald McDonald is the world leading global food service retailer with more than 33500 restaurants...
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...amenities that are not available to Amber Inn and Suites customers at the present time. Recent stabilization of the economy enables Amber Inn and Suites chances of increasing profitability in the near future. To achieve this goal, the market needs are to expand to urban areas and offer more hotel amenities. Market Summary Amber Inn and Suites target markets including business travelers who plan to stay longer than 2 days. With the economy slowly rising to stability at a steady pace and new companies are trying to start up, there is the opportunity for out-of-town business meetings with investors. The current market for hotels and bed and baths are expanding and showing an increase in demand. According to statistical data, all hotel segments and levels of profitability have evidenced improved performance, due to increased stability of the economy. Amber Inn and Suites market objectives is to increase revenue of the hotel by increasing number of overnight stay along with developing relationships with more travel agencies in connection to recommending Amber Inn and Suites to more people. Market Needs Amber Inn and Suites offer the best of both worlds. They are located close to major highways and attractions, but far enough from the downtown, city area that business travelers will be able to rest after a long day without the worry of the noise from street bustle. However, to improve profits, Amber Inn and Suites must meet the market needs by offering facilities in more...
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...Running Head: [ Morgan - Capitalizing on Healthier Breakfasts ] Capitalizing on Kellogg’s Effort to Make Breakfast Healthier Andréica L. Morgan Post University BUS520.90: Competitive Intelligence William Robinson March 4, 2011 Summary of Analysis Kellogg Company, the leading producer of breakfast cereals, is focusing its sights on creating healthier versions of the products that have found their homes in the hearts of the American consumer. By using current interactive marketing technology, focusing on how to integrate more fruits and grains into their products, and expanding into new markets, they provide a high bar for our little company to shoot for. Our way to compete against their extensive advertising budget, well-known products, and extensive distribution channels will lie in focusing regionally in supplies, production, and marketplace. This will allow us to capitalize on missed opportunities for using byproducts of current manufacturing processes as part of a two-fold aim – first to get the most out of our resources and second to be greener. COMPETITOR ANALYSIS COMPONENTS COMPETITOR ANALYSIS COMPONENTS Current Capabilities Strengths (Kellogg Company, 2010) Our people Committed to excellence, passionate about achieving our goals, eagerly embracing new challenges Our strategy Focused and consistent, delivers sustainable and dependable performance Our business model Resilient and proven, relevant in all economies, drives long-term health of the...
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... Lack of MICE related Infrastructure 16 3.6. Inadequate supply of quality talent 16 3.7. Low security 17 3.8. High cost of developing property 17 3.9. Poor Infrastructure 18 3.10. Difficult project financing 18 4. Growth Drivers 18 4.1. International tourist arrivals 18 4.2. MICE Destination (Meetings, Incentives, Conferencing, Exhibitions) 19 4.3. Government spending to boost growth 19 4.4. Improving economic environment 20 4.5. Increasing spending power 21 4.6. Government Support (Non-Monetory) 21 4.7. Offers from Airline Industry 24 5. Emerging Trends in the sector 25 5.1. Premium Hotel’s profitability to hit lows 25 5.2. Increasing revenues from F&B Segment 26 5.3. Development of niche tourism offerings 26 5.4. Growing trend towards service apartments 27 5.5. Growing demand for budget segment 27 5.6. Increasing interest of international operators 28 5.7. Growing trend towards spa and gymnasium facilities 28 6. Factors influencing Revenues 28 6.1. Segmented Market 28 6.2. Perishable Inventory 29 6.3. Low Marginal Cost 29 6.4. Advanced Bookings 29 6.5. Demand Fluctuations 29 7. SWOT 30 8. PORTER’s Five Force Model 30 9. Player Profiles 31 9.1. The Indian Hotels Company (IHCL) 32 9.2. EIH Limited – A member of the Oberoi Group...
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...Burger King’s History – Burger King was founded in 1954 in Miami, Florida. The corporation was initiated by James McLamore and David Edgerton. Prior to starting Burger King James and David had been deeply involved in the restaurant business. Their main idea for the restaurant was center around a place that people would come to and get the best quality food. They also wanted the experience to be in a pleasant atmosphere. Burger King operates more than 12,000 restaurants in all 50 states and in 76 countries worldwide. About 10,800 of those restaurants are owned and operated by independent franchisees, many of them family-owned operations that have been in business for decades. Below is their mission statement. Burger King’s Mission Statement – “We will prepare and sell quick service food to fulfill our guest's needs more accurately, quickly, courteously, and in a cleaner environment than our competitors. We will conduct all our business affairs ethically, and with the best employees in the mid-south. We will continue to grow profitably and responsibly, and provide career advancement opportunities for every willing member of our organization." GAP Analysis: Where is your company now? Burger King Holdings, inc. was been founded in 1953. Burger King is the world'snumber 2 hamburger chains after McDonalds. By the early 2000s Burger King is a littleleft behind. Years of under-investment left it struggling in its rival's shadow by the early2000s. Although a lot of...
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