Case Analysis – Saxonville Sausage Company
Saxonville Sausage Company is a seventy year old family owned business located in Saxonville, Ohio; the company manufactures a variety of fresh pork sausages which are sold throughout the United States. The company produces a form of Italian sausage under the Vivio brand that accounted for five percent of the company’s revenues, the Italian sausage line has been growing steadily for the past two years and future growth is expected. The company has seen dismal performance in its other brands of sausage, in two (2) years, there has been zero percent increase in sales volume, thus the need to boost profit. In order to achieve its profit objective, Saxonville whishes to launch its Italian sausage brand. The company employs a new product marketing director to launch the Vivo brand Italian sausage across the United States to increase its current distribution from sixteen percent in national supermarkets. The product marketing director sought to employ strategies to develop a plan that will guarantee increased profitability.
The below listed analysis assesses Saxonville Sausage company internal abilities and their ability to compete externally. Strength
• Saxonville offers three main pork sausage products: bratwurst, breakfast sausage, and Italian sausage • Saxonville products are sold widely throughout the United States therefore consumers are familiar with the brand Weakness
|Saxonville produces fresh sausage, they do not manufacture smoked or dried sausage | | The Saxonville name is associated with German heritage thus impacting on the company breaking into the Italian sausage market | | The company have limited distribution of bratwurst and breakfast sausage to the northeast United States | | Sales are flat or declining, there is zero percent volume increase nationwide and minimal growth is expected in the short term for | |bratwurst and breakfast sausage | | Introduced Italian sausage brand based on packaging with no form of promotion | |Saxonville have not conducted any market research on the Italian sausage customer and was skeptical of positioning, |
|Saxonville employed a product marketing director to launch the Vivio brand Italian sausage into a growing market for Italian | |Sausage | |Italian sausage category is growing rapidly in the United States | |Plans to market Italian sausage to be “meal solution” and meal ingredient, rather than whole meal to the females who are predominantly sausage | |users | |There is no national Italian sausage brand | |Customers in the Northeast are willing to try other Saxonville products based on the trust they have in the Vivio Italian sausage | | | |Threat | |Competitors either put emphasis on “authentic Italian heritage” or freshness and being locally-made similar to how Vivio has categorized |...
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