Answer 1: * The market demand for ‘Home Meal Replacement’ was undergoing a shift from processed food to healthier options. Cucina Fresca fulfilled this demand. It was prepared from more fresh and superior ingredients and was destitute of “bad carbohydrates”. * The consumers wanted more whole grain in their intake. Cucina Fresca being whole grain pasta conformed to this parameter. * Cucina Fresca fitted the category of “semi-prepared”, “ready to eat” products which were in high demand by time deprived, dual income households. * The product line was varied and was perceived more tasty and healthy than competition. * Demand for refrigerated fresh pastas was growing faster than dry pastas. * The size of the package had the right portion of pasta and sauce making it convenient to cook. * TruEarth enjoyed the first mover advantage in market. * Cooking the pasta was quick and easy. Each package recommended the best sauce option. The consumer did not have to do any guess work. * The package came with instructions to customize the meal if desired, like add grilled chicken or shrimp.

Pizza vs. Pasta: Opportunity- | Pizza | Pasta | Market size | $5.8 B | $4.4 B | Customer perspective | Indulgence | Meal | Source of extra revenue | Customer may purchase multiple toppings | Customer will purchase only one sauce for one packet of pasta | Competition | Local pizzerias, National and international chains, Kraft, Nestle | Rigazzi | First mover advantage | Rigazzi was developing a similar concept. So if TruEarth does not act quickly it may not have first mover advantage. | Yes | Price | $8.00 + $3.50 | $5.75 + $ 4.50 | All commodity Volume | 40% | 50% |

Pizza vs. Pasta: Development process–

Answer 2:

Answer 3:
Exhibit 6 shows the results survey conducted to find out the most significant attributes of pizza. The present pizza market is dominated by ‘take-out’ pizza. It is leads in almost all attributes. But take-out pizza is not considered as healthy as TruEarth pizza (7.1 vs. 9.1). TruEarth has an advantage here.
Customers are sceptical about the variety offered by TruEarth in comparison to take-out pizza. TruEarth can come up with customizable pizza where the cooks can add their own touches to combat this. Customers view pizza as a family meal. The company can come up with family size pizzas that serve 4-5 people. As per Exhibit 6 in their next 10 pizza purchases, 17% of consumers are willing to purchase TruEarth whole grain pizza, which indicates that there is a demand for healthy pizzas.
Looking at the excerpt from the exhibit examples people who rarely eat pizza as they consider it unhealthy are willing to try healthier pizza. But the regular eaters will try it only if it tastes better than the available options.
In conclusion, there is a demand for the kind of pizza line that TruEarth wants to launch albeit it is tasty, can feed a family and offers variety.
Answer 4:
Upon comparing Exhibit 7 with Exhibit 3, we can see that the results from Pizza Concept Purchase Intent test are not as astounding as they were for pasta. While 76% of respondents expressed interest in buying pasta, the count fell to 60% for pizza. This may be attributed to the fact that when Cucina Fresca was introduced it was first of its kind. TruEarth had no competition, whereas in the case of whole grain pizza, multiple competitors exist in the market.
Pasta scored 4.1 while pizza scored 3.7 for likeability. Customers seem to like pasta more and see more value gain in it (3.2 vs 3.0).
From Exhibits 4 and 8, we can see that key attributes for pasta are whole grain ingredients and freshness but for pizza whole grain is not the key determinant. Customers view pasta as cheaper, easier to prepare and more fresh than pizza. Also, TruEarth pastas were more favoured than pizzas by the customers (33 % vs. 24%)
The most significant factor in dislike category for pasta is limited selection whereas for pizza it is price.
In conclusion, entering and capturing the pizza market will require more efforts for TruEarth than it did for pasta.
Answer 5:
Based on the calculations done and the results of research conducted, it is evident that whole grain pizza market has keen potential and has garnered positive response from the consumers. The results are not as invigorating as they were for pasta, however this proceeds from the fact that the competition for pizza is heightened and customers have not warmed to the idea of whole grain pizza as much as they did for whole grain pasta.
The calculations done show that the revenue for whole grain pizza ($17 M) is more than the forecasted revenue of $12 million.
The closest competitor Rigazzi is developing a similar concept. To maintain a competitive edge in market, it is important that the pizza be launched as early as possible and first mover advantage is exploited.