Saxonville Sausage Company Case Study

SYNOPSIS

The Saxonville Sausage compamy, a 70-year-old manufacturer of fresh pork products, is suffering from financial strain due to its main product of bratwurst realizing a decline in sales. This decline in revenue is not unique to Saxonville as their competitors are experiencing similar drops in sales. However, Saxonville's Italian sausage brand Vivio has experienced a growth during this period with an increase of 9% in 2004 and 15% in 2005. The problem is that Vivio accounts for only 5% of Saxonville's total revenues. During this period Vivio was available for purchase in only 16% of the supermarkets nationally. Realizing that there was potential for growth in the untouched supermarkets throughout the nation they hired Ann Banks as their new product marketing director to launch a plan for publicizing Vivio on a national level in order to meet the profit objectives for the next fiscal year.

RESEARCH METHODOLOGY

Ann Banks quickly realized that there were a number of obstacles in her way if she were going to achieve the goal of launching Vivio as a national and household brand. She knew that a German company making Italian sausage was a challenge; how was she going to convince key stakeholders of her plan and who was her target market were also problems that needed to be addressed. The initial plan was to create a multifunctional task force that would provide input and perspective in her investigation of the Italian sausage opportunity. She also researched old, and developed new, market research studies to help her cause. After she completed all of this research and had a clear understanding of who her target market was and identified their needs and values she would be able to develop a plan worthy of presenting to senior management for implementation.

RESEARCH RESULTS

After a few months of market research two main concepts stood out as the core values of those involved (target consumers) in the studies and were the keys to the success of the Italian sausage opportunity. These concepts were "Family Connection" and "Clever Cooking." Clever cooking amassed the highest amounts of votes but family connection was more balanced in feedback and had considerably less negative feedback. They were both equally valid approaches to the Italian sausage opportunity but Ann was only able to choose one concept for her final presentation to senior management.

RECOMMENDATIONS

Clever is as clever does. When we think about the Italian community we often envision a kitchen full of people creating a meal. Some of them steaming over a pot of sauce and boiling noodles; others slicing garlic so thin it would melt on contact with the olive oil laced pan; some wrapping cannoli's or putting together a nice tiramisu and the rest talking the fine points of wine pairing--this