Towards the end of 1994 the management team in Irish Biscuits Ltd identified the need to strengthen its marketing function. By July 1995 the marketing department had doubled in size and the marketing budget was increased to £2.5 million. The new team was charged with the task of upgrading the company's corporate image and focusing on the development of new products. Biscuits are one of the biggest markets in the Irish grocery trade, with a current market value of IR £125 million.
[...] AN ADAPTED STRATEGY Irish Biscuits has got a strategy adapted to the various markets. In fact, the Groupe Danone plays an important part concerning the strategy of Irish biscuits. But it is always the Irish Biscuits director who decides for the strategy. The advantage of being a subsidiary of a multinational such as Danone is that it gives immediate access to distribution systems around the world (outside Europe the group also sells into US, Canada and the Middle East) as well as the opportunity to tender for production contracts for other Danone products . [...]
[...] signals of the health dimension in the biscuit market. Indulgence: Higher standards of' living and the importance placed on rewarding oneself hand children are growing phenomena. Within the biscuit market new personalised biscuits, individually wrapped, reflect this trend. Various promotions KIMBERLEY BRAND Heavyweight TV campaign Local radio promotions, PR including Late Night Show, Sampling, Dump displays. THE PRICE The prices vary according to the products but IDL tries to have a very good segmentation for all these products. For example CHOCOLATE KIMBERLEY : Retail Selling Price 89p for pack of six. [...]
[...] Weaknesses Low export penetration Poor penetration confectionary and snack Production orientated. No market research Opportunities Market development export Groupe Danone Distribution Growing snack food Lifestyles changing Product life cycle Threats Strong retailers New entrants Substitute products. THE WEB SITE Irish Biscuits does not have a web site but the Groupe Danone does: Danone.fr. This web site shows all the Danone products. Indeed, there are Evian (water), Lu (cake) and Danone (yoghurt). In addition, the web site explains the marketing strategy of Groupe Danone. [...]
[...] Only Jim Figgerty has the answer'. THE DISTRIBUTION RETAILER CONCENTRATION AND POWER Retail concentration has increased dramatically throughout Europe over the last 15 years as multiple retailers take an increasing share of tile convenience goods business. Dunnes Stores and Quinnsworth Group are the largest retail groups in Ireland collectively accounting for approximately 44% of total convenience goods sales. This presents manufacturers with two major challenges, firstly, access to key distribution channels is increasingly critical to a brand's survival and secondly the threat of private label brands is likely to grow further. [...]
[...] It also produces a number of private label lines. Many of the Jacob's brands are household names like Kimberley, Mikado and Coconut Creams, Chocolate Goldgrain, Club Milk and Fig Rolls. From 1983 to 1989 over 30 new products were launched by IBL including Snap Crackers, Choc Mallows, Busker, Club Polo, Club Crunchers and, for the Christmas market, Gallery and Elite. More recently, apart from local innovation of the Jacob's Chocolate Kimberley product, new products have been selected from the Danone portfolio such as the LU biscuit range, Jacob's Prince and Jacob's Chipsters snacks. [...]
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