Kingsford Analysis

The company is looking to increase profitability and find a long-term solution to the inventory problem.

The company was recently presented an opportunity by its largest retail customer to significantly increase its share in their private label manufacturing. The prospect of growth was risky, since it

This enables' them to sell their unsold outdated stocks but also help them to keep intact their old customer , and have new customers with this promotion .

As mentioned before, charcoal is well in the mature stage of the product cycle in which more advertising would be optimal. Charcoal should be Kingsford’s cash cow in which they can use the funds generated from them and invest it in research and development; so that they may introduce a new product preferably in the gas grilling market in the near future. As with a stagnant price increase, the same can be said of advertising from Kingsford. Their advertising budget has decreased throughout the years, while the gas grilling market has increased its’ advertising budget each year. MMA’s analysis of 1998 spending shown that TV advertising can drive volume increase of around 7% for the current year and even a 3% to 4% increase of volume purchased in the following year. This indicates the importance of advertising. One area which is lacking for the whole charcoal category since Kingsford is the only brand that advertises at all for charcoal. Perhaps advertisements can show how charcoal grilling is the correct and tasty way to grill instead of gas grilling. Kingsford can look to do blind tastings again and publish the findings. If they look to stretch the grilling season they should look beyond just NASCAR events, but perhaps also with NFL sporting events, as well as other events and activities in which grilling is popular. They could become a sponsor in which sports can endorse them

Such companies include Coca Cola Company and Pepsi. Such companies have the ability to offer their products at a lower price due to economies of scale in production. It is important for the product to cut down on overhead costs to ensure that they are able to offer the product at a lower price. Customers will be attracted to other products if the company is unable to meet their price expectations.

Charcoal grilling is an American tradition that brings communities together through a shared celebration of food. An important aspect of grilling is food preparation and charcoal is used to heat and cook food. Established in the 1920’s by Henry Ford and his relative E.G. Kingsford, the purpose of charcoal briquettes was to burn longer and hotter than regular wood. Through the years, the firm was purchased by an investment group and later acquired by Clorox in 1973, which owns 50 other products that it distributes. Kingsford had one of the largest products groups

In this report, we will be analyzing the current performance of Kingsford in the marketplace and identify the main cause of revenue deterioration. Thereafter, a comprehensive strategy and marketing plan will be presented.

Although charcoal had trended down since 1997, Kingsford reduced its media spending from over $6 million to $1 million, making the situation even worse. In the other side, the substitute product increased their media spending from $4 million in 1998 to over $10 million in 2000.

I prepared an analysis of several marketing strategies that can be used by executives at A.1. Steak Sauce. This case analysis will provide a summary of A.1.

I would recommend a combination of two of the alternatives above. First, I would recommend that A.1. strengthen its relationships with its suppliers and distributors. Although A.1. would incur additional expenses in the form of legal fees and sales representative time, the benefits it could gain would be extremely useful in competing against Lawry’s. A.1. would ensure a high quality product, adequate shelf space, and principal display space. These would reinforce A.1. as the preferred steak sauce and provide additional brand awareness. Second, I would recommend that A.1. alter its advertising program for the upcoming year. With Lawry focusing on May, June, and July with its advertising program, A.1. needs to match it to maintain its current brand awareness. A.1. has been the number one brand of steak sauce people

* Long term effects of its pricing strategy (the company may not be able to continue if such pricing structure remains)

Potential or existing customers can consider product prices high, low or fair, thereby regulating the active demand for the products of the company.

Canadian based company, Saralyn Mills, is in need of a new marketing strategy to repair the current shortage of sales in Quebec, Canada. According to the case study, the Quebec and Ontario markets account for 69 percent of the company’s sales in Canada. Currently, Saralyn Mills does not have an effective strategy in place for the market of Quebec. The company’s current goal is to implement a global standardization strategy, which is focused on keeping a set marketing strategy the same for every location. It is up to the marketing manager, Nicole Vichon, to come up with a new and separate marketing plan for Quebec. Even though this would be a major policy change from the current global strategy of Saralyn Mills, case facts prove it could be very effective.

Focusing on fruits and vegetables by local farmers is another key to their brand. People have a feeling that they can trust the food if its local. I know when I go to a grocery store, and it says grown local

I would consider lowering price points so I could tap into the more than 10% of consumers without becoming “Wal-Mart”. Now the company did do something to increase its’ position that I found useful. That was to decrease its’ overall lease space by 2%. (2010 shareholders meeting). This reduction in retail occupancy costs attributed to the 1 billion dollars the company enjoyed last year. I would also consider expanding the company’s customer base by broadening the product line to similar to Home Goods or Bed Bath and beyond who currently double the revenue of Williams-Sonoma. (Redistribute assets earmarked for traditional cataloging to online accesses. Not only will this save money, but will also impact paper usage. I believe advertising in this was has all but outlived its’ usefulness.