Cucina Fresca Case

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1. The success factors of Cucina Fresca Pasta * Thorough market survey – The company structured its R&D division and outsourced the market survey to Nielson Bases. The survey took into consideration both- the market potential as well as behavioral considerations. * Easy customizable options – Consumers were provided with a wide range of sauces and simple instructions/ recommendations for preparing the meal. * Smaller pack sizes – This gave a feeling of freshness. It was also easier for first time/ skeptical consumers to purchase trial packs. * TruEarth was successful in catering to the unmet demand for healthy pasta which tasted good as well. * Home meal replacements- Cucina Fresca provided a suitable alternative…show more content…
Forecast Demand for Pizza Scenario 1: Considering 11% customer awareness The table below and the following graph show the return on investment based on the consumer survey conducted by Neilson Bases. Pizza | Mediocre | Average | Excellent | Trial Volume | 1.07 | 1.07 | 1.07 | Repeat Purchase Volume | 0.54 | 0.96 | 1.27 | Total Estimated Volume(MM units) | 1.61 | 2.03 | 2.34 | Average Spend per purchase($) | 12.38 | 12.38 | 12.38 | Total Sales | 19.97 | 25.08 | 28.92 | Gross Margin | 6.99 | 8.78 | 10.12 | Oppourtunity-wholesale volumes | 12.98 | 16.30 | 18.80 | Returns on Investment (ROI) | 0.98 | 4.30 | 6.80 | Percent ROI | 7.53 | 26.40 | 36.17 | Scenario 2: Considering 5% customer awareness The table below and the following graph show the return on investment on the basis of survey conducted subject to sensitivity analysis that only 5% are aware of the brand (least optimistic) Pizza | Mediocre | Average | Excellent | Trial Volume | 0.85 | 0.85 | 0.85 | Repeat Purchase Volume | 0.54 | 0.96 | 1.27 | Total Estimated Volume(MM units) | 1.39 | 1.81 | 2.12 | Average Spend per purchase($) | 12.38 | 12.38 | 12.38 | Total Sales | 17.26 | 22.37 | 26.21 | Gross Margin | 6.04 | 7.83 | 9.17 | Oppourtunity-wholesale volumes | 11.22 | 14.54 | 17.04 | Returns on Investment (ROI) | -0.78 | 2.54 | 5.04 | Percent ROI | -6.98 | 17.49 | 29.57 |

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