Giant Consumers

Good Essays
About Giant Consumer Products :
This case describes sales promotion strategy at frozen foods maker Giant Consumer Products. The case focuses on the multi-disciplinary facets of brand management and sales promotion. Started with background analysis, problem statement, problem analysis, identification and assessment of alternatives, and recommendation and implementation.

Following apspects are included in the case : consumer products marketing strategy food industry brand equity brand management quantitative analysis of return sales promotion return on marketing investment (ROMI)
Cannibalization
Promotion plan
Forwarding buying
Pass-through
Stock Piling
Brand Equity Erosion
Customer Buying pattern

Frozen food division (FFD) is the key contributor to Giant Consumer Product 's (GCP) profits which have successfully grown over the past 30 years. The company has two main products lines, Italian frozen dinner “ DinardoTM”, and organic frozen foods “Natural mealsTM ”. However, recently FFD has encountered a shortfall in sales volume and gross revenues. Now, Allan Capps the CEO of GCP is hesitant about running a trade sales promotion with retailers. And if so, which brand should the marketing funds be allocated to?

1. Using the data in exhibits 1 & 4 (may use spreadsheet), develop solution templates in case exhibit 3 for Sanchez. How would this help in solving his problem?

Marketing academics recommend that the precise amount required is what should govern the budget. Commercial concerns override. Unfortunately, unless you know what works, its exact cost and that it gave value for money, you are stymied. In principle, budgeting precisely what you need is the right way to do it. The only justification for spending money on promotional activity is that it will achieve marketing objectives that contribute to long-term growth in profits.
[pic]
Working on Promotional Budget:
There are five ways in which companies set their promotional budgets:

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