Grenadier Marketing Case Analysis

3212 WordsFeb 26, 200813 Pages
Marketing Plan Grenadier Chocolate Company Limited: The Milk Mate Decision Company Description: Grenadier Chocolate Company is a midsize firm that was founded in 1973 by Mr. Ronald Berg with the aim of developing and marketing Milk Mate milk flavoring. This product is a new, milk modifying, instant chocolate syrup for household use. This is a premium product and a first of its kind. Milk Mate is a syrup as opposed to the competition which is all powder form. This quality along with great taste, texture, color, and convenience all make Milk Mate brand the very best when it comes to milk flavoring. The company believes that this product will succeed in national distribution after its initial introduction. Grenadier…show more content…
This results in lower prices for ingredients. Sugar makes up 85% of ingredients costs so any drop in the use of sugar will greatly lower our ingredients costs and overall variable costs. The lower sugar that the product uses can also be used as a marketing strategy by saying that our product is thus healthier and lower in fat. Also we know that children drink a lot of milk flavorings so wouldn 't you want you child to consume less sugar while experiencing the same great taste? Price Strategy The product will sell for $13.45 per case (how this figure was arrived at can be found in the appendix under pricing). Each case will contain twelve 20oz containers. This is a reasonable price as compared to competition. The top brand will sell their cases for around $13.34. We are marketing our product for its convenience, ease of use, and taste therefore making it a premium product which leads to a higher price level. Coupons will also be widely available to help create even less of a discrepancy between prices. Promotion Strategy Promotion will be done with the help of 5 sales agents that are kept on salary and work specifically and only for Grenadier Chocolate Company as to keep a high level of expertise and service on hand. There will be significant advertising geared toward the Ontario region. The use of television,
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