Consumer Brand Expansion
SITUATION
A consumer branded frozen food manufacturing company had achieved national distribution, but then their growth rate had matured.
PROBLEM
The frozen food section in the supermarket has the most competitive shelf space. The client’s growth rates were drastically slowing, and they need to reverse this trend. Cannibalization was a paramount concern.
SOLUTION
Rather than keep creating new line items that might cannibalize existing sales or simply replace existing strong sellers at a lower sales rate, a new sister, reduced calorie line was created.
BENEFITS
Many more product facings were achieved, new consumers were brought in to both franchises and sales increased by 60%, including cannibalization. Most importantly, the original objective of protecting shelf space from the competition was achieved. In fact, the competition actually lost shelf space, thus solidifying the brand. Both product lines are in virtually every supermarket in the US.
For more information, contact Steve Stallman at [email protected].