SAXONVILLE SAUSAGE COMANY

AN ITALIAN OPPURTUNITY:

VIVIO:

*70 Year old privately held business of GERMAN heritage in

OHIO.

*Mainly a producer of fresh pork sausage.

* Revenve of $1.5 BILLION in 2005

SAXONVILLE

BRATWURST:

70% OF TOTAL REVENUE. HEART OF BUSINESS, BUT 0% VOLUME

INCREASE IN 2005.

BREAKFAST SAUSAGE:

20% OF TOTAL REVENUE. SHOWED A DECREASE IN MARKET VOLUME IN

DEC 2005

THE PRODUCTS:

STORE BRAND PRODUCTS:

ACCOUNTING FOR 5% OF TOTAL REVENUE.

VIVIO:

:ACCOUNTING FOR 5% OF TOTAL REVENUE.

ONLY PRODUCT SHOWING AN INCREASE IN MARKET VOLUME

SHARES IN 2005,

GROWING SEGMENT (15% IN 2005)

*ENTERED THE MARKET IN 2002.

• NAMED VIVIO TO GIVE IT AN ITALIAN HERITAGE.

• PRESENT IN ONLY 16% OF LARGE SUPERMARKET IN US.

• IT WAS MOSTLY MARKETED AND SUPPLIED IN EASTERN US, UNLIKE

BRAT AND BREAKFAST NATIONWIDE.

CONDITION OF VIVIO IN SAXONVILLE PORTFOLIO:

VIVIO: CURRENT SITUATIONGiven italian name to increase the market share .

Inconsistent distribution pattern.

No clear positioning or market segmentation

Priced at par with other competitors but at 15% high rate than store products.

Available only in 16% of the large supermarkets.

No effort or scheme in promotion.

• Launch a new successful Italian sausage brand to meet the profits of the fiscal year.

• Must be done so that it not affects the sales of brat sausage.(CANNIBALIZATION).

• Must be made available through existing distribution networks.

• Positioned in every marketplace of strong foothold of saxonville.

• Good promotion scheme.

OBJECTIVES

The need to understand current customer behaviours toward the

product, triggers to purchase ,value to be supplied through product,get to know core values or the role it plays in people’s lives,its existing competition,pricing startegy and

more importantly products relationship with the customer.

OBJECTIVE STATEMENT

Three qualitative and one quantative methods were used to segment , target and get the value of the product to the market.

• Gender, status,number of kids,age,education,working status.

• Lifestyle: busy life, very little time for family

• Frequent , medium and heavy users

SEGMENTATION

The whole of US.

Female head of household.

Aged : 20-50

Anybody in need of quick and great dinner

Anybody trying to make something new with sausage.

TARGET

Good nutritious meal.

Satisfying everybody needs in terms of taste and hunger.

As whole family loves to eat this product time spent with whole family

so family values

Creativity in terms of trying something new.

VALUE

• Family Connection

• Clever Cooking

• Confidence

• Appreciation

• Quick and Easy

• Tradition

POSITIONING TERRITORIES

What we have for dinner tonight?

Instead og groaning for new meals everyday that may or may not be loved

by everybody “VIVIO” can be “meal solution” for mothers for serving good

nutritious food to the family being loved by everybody. Can also try to make

something new for family. Rest is about increasing “family happiness” ,core values of family sitting around the

“family table.”

POSITIONING STATEMENT

• Family happiness and core values to the family.

• Feeding good nutritious food and spending time with children and family

• Easy to use and make ,can even try something new with it.

• Loved by everybody

• Creating family experiences to be memoired, and a perfect home.

PRODUCT BENEFITS

What should be the name of the product so that it connects to the

customerws

• VIVIO by SAXONVILLE, with an ITALIAN flag in corner

• SAXONVILLE’S VIVIO,

* VIVIO –”The locally prepared Italian sausage” from SAXONVILLE

THE PRODUCT

VIVIO-The Italian name gives it the

required connection.

A new cbrand with a new name gives a tinge of change and

betterness.

SAXONVILLE provides the required brand recognition and popularity and placement with

retailers.

The product must be placed at 15-20% higher SRP than store products.

THE pricing of product must be such that it must be easily affordable.

Must be at par with the competitors values (5%)higher maybe to give it branded look

and quality.

“Quality comes at a Price”

No discount on the product as ithis hurts it value and percieved quality by the customer.

PRICING OF PRODUCT

Prominent placement in the italian sausage section in every

store and market area of US.

Placing and distribution through Saxonville’s distribution routes.

In national “Supermarket” chain.

Nowhere in discount warehouses.

PLACE

* Female FHH@HOME

99% Influenced by other fhh’s.

* Magazines & Newspapers

* On- site

BOGO

events

*Coupons

Rice,pasta

Online coupons

PROMOTION

SEASONALITY: different peak purchasing periods

TARGET: FHH(Italian) vs MHH(brat)

EATING HABITS: special events vs everyday dinner.

All these sum up to low cannibalization.

CANNIBALIZATION THEORY:

Launching – Januay-February(2007)

• Distribution campaigns,ad campaigns,website updation for the product and sales info

• Magazine/online advertising before a month.

• On site camping/promotion,BOGO’S,offers with coupons.

• Complementary products along with launch.

• Post launch plans:

• * measurement control(product ideas & promotional ideas)

• *New scopes and growth ideas of product

ACTION PLAN

“its something you always have in the house,because

you can always do something good with it.”

“everyone loves it”

“pizza, soup I use it like ground beef and they love anything I make with it”

CUSTOMER SATISFACTION