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    Nature View Case Analysis

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    Aishwarya Solanki
    This document provides a case analysis for Nature View yogurt company. It includes a 5Cs analysis of the company, customers, competition, context, and collaborators. The decision problem is whether the company should expand into supermarket distribution or strengthen existing natural food store networks. Three alternatives are evaluated: expanding small cup sizes into new regions, expanding larger cup sizes nationally, or introducing a children's multi-pack. The recommendation is to expand the top-selling 8oz cups into supermarkets to gain market share and revenue beyond the $20 million target for 2001, while managing risks to existing channel relationships.

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    Nature View Case Analysis

    Uploaded by

    Aishwarya Solanki
    266 views8 pages
    This document provides a case analysis for Nature View yogurt company. It includes a 5Cs analysis of the company, customers, competition, context, and collaborators. The decision problem is whether the company should expand into supermarket distribution or strengthen existing natural food store networks. Three alternatives are evaluated: expanding small cup sizes into new regions, expanding larger cup sizes nationally, or introducing a children's multi-pack. The recommendation is to expand the top-selling 8oz cups into supermarkets to gain market share and revenue beyond the $20 million target for 2001, while managing risks to existing channel relationships.

    Original Title

    NatureView_Group9_SecB

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    This document provides a case analysis for Nature View yogurt company. It includes a 5Cs analysis of the company, customers, competition, context, and collaborators. The decision problem is whether the company should expand into supermarket distribution or strengthen existing natural food store networks. Three alternatives are evaluated: expanding small cup sizes into new regions, expanding larger cup sizes nationally, or introducing a children's multi-pack. The recommendation is to expand the top-selling 8oz cups into supermarkets to gain market share and revenue beyond the $20 million target for 2001, while managing risks to existing channel relationships.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    266 views8 pages

    Nature View Case Analysis

    Uploaded by

    Aishwarya Solanki
    This document provides a case analysis for Nature View yogurt company. It includes a 5Cs analysis of the company, customers, competition, context, and collaborators. The decision problem is whether the company should expand into supermarket distribution or strengthen existing natural food store networks. Three alternatives are evaluated: expanding small cup sizes into new regions, expanding larger cup sizes nationally, or introducing a children's multi-pack. The recommendation is to expand the top-selling 8oz cups into supermarkets to gain market share and revenue beyond the $20 million target for 2001, while managing risks to existing channel relationships.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 8
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    The key takeaways are that Natureview manufactures and markets refrigerated cup yogurt and is facing strong competition from major competitors like Dannon and Yoplait. It needs to decide whether to expand into supermarkets or strengthen existing distribution networks to reach $20 million in revenue by 2001.

    The decision problem faced by Natureview is whether it should expand into supermarkets chains or strengthen existing distribution networks to reach $20 million in revenue by 2001.

    The three alternatives proposed are: 1) To expand six SKUs of the 8-oz product line into Eastern and supermarket regions 2) To expand four SKUs of the 32-oz size nationally 3) To introduce two SKUs of a children's multi-pack into the natural foods channel

    NATURE VIEW

    CASE ANALYSIS
    Submitted By :
    Group 9

    Aman | Aishwarya Solanki | Monika


    | Prithwi Banerjee | Rohan Kamath |
    Sakshi Choudhary

    1
    Background ( 5Cs Analysis)
    COMPANY CUSTOMERS COMPETITION

    ● Founded in 1989 ● Shoppers at Natural store ● The major share was taken
    ● Manufactured and marketed tended to me more by majorly 4 competitors
    refrigerated cup yogurt educated, earn higher which were Dannon, Yoplait,
    ● 2 sizes cups: incomes, and be older than a Breyers and Colombo, with
    1) 8 oz - 12 favours (86% typical supermarket shopper two competitors sharing the
    revenues) ● 46% - Supermarket 50% market
    2) 32 oz - 4 flavours (14% ● 25% - Health food store ● Horizon Organic - Obtaining
    revenues) ● 29% - Natural Health Supermarket Distribution,
    3) Multipack yogurt Supermarket National brand in Food
    products for children ● Consumed by 40% of the US Stores
    ( 4 oz cups and tubes) population with 70% women
    ● Children, mothers etc

    2
    CONTEXT COLLABORATORS

    ● Opportunities : the organic food ● Leading natural food retailers


    market was predicted to grow to including the chains whole food
    $13.3 million in 2013 from $6.5 and Wild Oats
    billion in 1999 ● Sales Brokers
    ● Threats : Strong competition ● Suppliers
    from gig competitors for shelf ● Distribution Partners
    space in the supermarket
    distribution channel.

    3
    Decision Problem

    Should the company expand into supermarkets chain or


    strengthen existing distribution networks to reach 20
    Million in revenue by 2001.

    4
    Alternatives

    Alternative 1 Alternative 2 Alternative 3

    To expand six SKUs To expand four SKUs To introduce two


    of the 8-oz. product of the 32-oz. size SKUs of a children’s
    line into Eastern and nationally multi-pack into the
    supermarket regions natural foods channel

    5
    Evaluation of Alternatives
    Alternatives Alternative 1 Alternative 2 Alternative 3

    Pros ● First mover ● Strong competitive ● Strong profit contribution


    advantage advantage ● Low sales and
    ● Expected 1.5% ● Above avg gross profit marketing costs
    market share margin(43.6%) ● Natural foods channel
    ● Consumer in these ● Smaller lengths of growing faster than
    areas are more likely channel to market supermarkets
    to go for organic ● Low on average trade
    promotion expense

    Cons ● High risk and cost ● Slow growth rate ● Not having required
    ● Risk of shift from ● High risk resources and skills set
    current operations ● Sales force expansion ● Impact on current sales
    and entering mass cost ● Low expected revenue
    market distribution ● Issue of pricing ● Requires R&D to
    channel differently develop product
    ● Horizontal channel
    conflicts
    6
    Recommendations

    ● Our recommendation is to opt for option 1 as it would significantly increase both revenue and
    profitability at the end of year 2001,reaching beyond the target revenue of $20 million
    ● Natureview will enjoy first-mover advantage of natural products in yogurt category at
    supermarkets with the most purchased 8 oz pack
    ● The risks involved regarding the relationships with traditional channel members can be
    managed by providing some extra benefits to them and keeping some product lines exclusive
    for natural product retailers
    7
    Thank you

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