Breeder's Own Pet Foods, Inc. Case Analysis

Decent Essays
Adam Tarbell
MKTG 489
Breeder’s Own Pet Foods, Inc. Case Analysis

Background/Problem Definition:
Representatives have approached breeder’s Own Pet Foods, Inc. from Marketing Momentum Unlimited, a marketing and advertising consulting firm. The reason for the meeting was to discuss the company’s possible entry into the retail branded dog food market in the Boston market.

After hearing Marketing Momentum Unimited’s proposal, Breeder’s Own Pet Foods was presented with the problem of: Should Breeder’s Own Pet Foods go with the advertisings firm’s proposal, if so, which one?

Market/Industry Analysis:
The U.S. owned-dog population is 78.2 million and it is growing steadily. With a population so large it is no surprise that the pet
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Margin = ($12.86 - $7.87) / $12.86 = 39%

Mark-up = ($1.80 - $0.66) / $1.80 = 63%

Profit Margin = $12.86 - $7.87 = $4.99

Fixed Cost = Ad Budget + Slot fees = $530,000

Breakeven = $530,000 / 39% = $1,358,974

Breeders Own Pet Foods,
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