Saxonville Sausage Case
Ouari SEKKOUM
Product and Brand Strategies
Saxonville Sausage Case Study
What is the current situation? Saxonville is a family company from Ohio has existed for seventy years, it produces a range of pork sausage, and they have three types of products: breakfast sausage, bratwurst and Vivio sausage. Products are sold in all the United States, through national and regional distributors. The firm's revenue is estimated at 1.5 billion dollars in 2005. Since 2004, the company is experiencing difficulties: Saxonville has seen two of their three main products face growth problems (people were starting to eat sausages on more special occasions, which damaged the breakfast sausage growth, and were also eating more often inside the house, which damaged the brats growth), an underperformance with a double digit revenue decline for consequences; the company ranked out eight national breakfast sausage brands. The line that is still experiencing fast growth is Vivio Brand (italian sausage), available in only 16% of the nation's large supermarkets. The senior management uses Ann Banks to develop the “Italian Opportunity”, to create a positioning that would not lead to the cannibalization of Saxonville’s products, that enabled the brand to be a national one and, most important, a brand that met customer’s needs. This lack of positioning is due to a non-conducting market research on the Italian sausage custome by the senior management since the business was growing. How was the research methodology determined? Develop a research design and explain what behaviors, demographics, and lifestyle components you deem important and why. Saxonville Sausage didn't know their target consumer and the research methodology will learn it. Method combines qualitative and quantitative ways through four steps. The first three stages establish the qualitative research which bring out ideas and give the foundations to understand the target customers. The first step was to target customers to
Product and Brand Strategies
Saxonville Sausage Case Study
What is the current situation? Saxonville is a family company from Ohio has existed for seventy years, it produces a range of pork sausage, and they have three types of products: breakfast sausage, bratwurst and Vivio sausage. Products are sold in all the United States, through national and regional distributors. The firm's revenue is estimated at 1.5 billion dollars in 2005. Since 2004, the company is experiencing difficulties: Saxonville has seen two of their three main products face growth problems (people were starting to eat sausages on more special occasions, which damaged the breakfast sausage growth, and were also eating more often inside the house, which damaged the brats growth), an underperformance with a double digit revenue decline for consequences; the company ranked out eight national breakfast sausage brands. The line that is still experiencing fast growth is Vivio Brand (italian sausage), available in only 16% of the nation's large supermarkets. The senior management uses Ann Banks to develop the “Italian Opportunity”, to create a positioning that would not lead to the cannibalization of Saxonville’s products, that enabled the brand to be a national one and, most important, a brand that met customer’s needs. This lack of positioning is due to a non-conducting market research on the Italian sausage custome by the senior management since the business was growing. How was the research methodology determined? Develop a research design and explain what behaviors, demographics, and lifestyle components you deem important and why. Saxonville Sausage didn't know their target consumer and the research methodology will learn it. Method combines qualitative and quantitative ways through four steps. The first three stages establish the qualitative research which bring out ideas and give the foundations to understand the target customers. The first step was to target customers to