Case Analysis Pillsbury Cookie Challengeg

Topics: Marketing, Target market, Cooking Pages: 2 (567 words) Published: October 19, 2012
Synopsis of the Case:
GMCC is a company that sells refrigerated baked goods and their success in USA compelled them to try their luck in Canadian Market, but their venture in Canada was not successful at all due to socio-economic and cultural differences thus creating a void in the marketing strategy of the company. Background of Company:

* GMCC is the second largest General Mills International Divisions * GMCC is a leader in Canadian Packaged Food Market
* RBG (Refrigerated Baked Goods) is the fourth Largest Category in GMCC * Pillsbury Dominates 85% of RBG’s Market Share
* Pillsbury Refrigerated Cookie Line generates 75% of the category’s profit. * Zero Volume Growth for RBG between 2004 and 2006.
* 1 % annual growth for RBG for the last 03 years.

The challenges as faced by RBG division of GMCC has its basis on 3 P of marketing which are as under : 1. Promotional Challenges: Prior Market Campaign that was developed in US and adapted to Canadian Market failed to generated the desired 5 – 7 % annual Growth for the RBG Category. 2. Product: Household Penetration reduced to 24 % and only 15 % of Canadian Customers surveyed that the cookies were sized appropriately. 3. Price: Higher retail price in comparison to feature caused the customers to sway away from the product in Canada, only 32 % of Customers perceive value for the price of the Pillsbury Refrigerated Cookies. Problem Definition:

According to the insights of the case I feel there are two major problems that have been discussed which are as under: * To restore the relevance of Pillsbury in the minds of Canadian Moms at both the functional and emotional levels * To stimulate significant growth in Pillsbury Cookies

After going through the exhibits of the case following alternatives are suggested: 1. We have to make the product more accessible and eye-catching for impulse buyer we...
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