How Has On The Natural Foods Channel?

Consumers are increasingly skipping breakfast and morning food sales are on the decline. Yogurt tastes are changing as well, with many consumers opting for Greek yogurt as opposed to regular yogurt. GIS was greatly impacted by these changes in consumer preferences and saw US cereal sales drop 3% from 2017 to 2016 while US yogurt sales dropped 18% year-over-year. In July of 2017, GIS introduced a new French Style yogurt brand to appeal to changing consumer tastes and increase yogurt sales. One positive for the industry is that consumers are snacking more often. Consumers want convenient filling foods that fit in with their busy lifestyles. The packaged food industry can take advantage of this growth capitalize on the growing popularity of quick meals and nutritious snacks. Snacks comprise 21% of GIS’s total net sales and this is expected to continue to grow as GIS introduces more healthy options. Another concern is aging populations in the developed world. As consumers age, their dietary needs change. Older populations move away from many foods products with high levels of sugar and fat in favor of more nutritional products. There is slow population growth with birth rates below the replacement level in many developed nations. This decline in new consumers is a problem for the industry as they can no longer rely on consumer growth

“Even the lid is good for you.” Yoplait’s “save lids to save lives” is a very good and effective advertisement. It is so much, in fact, that it makes you want to buy the yogurt not only to eat it, but to help out in a good cause. The purpose of this article, which is to inform its readers about their product, was greatly accomplished. It gives the reader compassion for what this company is trying to do. The company of Yoplait holds great credibility because of their background. The message being sent out is very strong. The ad has great effectiveness making this a very successful magazine advertisement.

The main point that can be taken from this analysis is that due to its strong brand image, lower shelf-life, and cheaper prices than its competitors, Natureview

Lassens Natural Food and Vitamins focused more on the quality of products they offered rather than having a plethora

The company distinguishes its products from the competition by using natural ingredients and a special process that gives the yogurt it creamy and smooth texture without having to use thickeners.  Other distinguishing factors for Natureview includes using milk form cows that have not been treated with rGBH and the average shelf life of Natureview yogurt is 50 days instead of 30 days. Over the past 10 years, Natureview revenues have increased from $1000,000 to $13 million. Natureview offers 8oz and 32 oz. cups for purchase. Initially starting out with two flavors, Natureview has expanded to offer twelve flavors in the 8 oz. cups and four flavors in the 32 oz. cups.  Sales of the 8 oz. cups made up 86% of Natureview’s revenue while sales of the 32 oz. cups made up the rest (14%). Natureview has found a niche market in the natural foods channel. Customer can find Natureview yogurt at a variety of natural food retailers including Wild Oats, and Whole foods. The price for Natureview yogurt at natural food stores was  $0.88 for an 8oz cup and $3.19 for a 32 oz. cup. Compared to supermarket channels ($0.74 for 8oz, $2.70 for 32 oz.), prices for Natureview yogurt was higher due to multiple parties involved in the distribution.  Natureview has to use three distributors in order to get the product to consumers.  Each distributor collect their margins, which leads to higher prices.

Natureview Farm is a small yogurt manufacturer with annual revenues of $13 million. It produces three different size cups – 8 oz. cup, 32 oz. and 4 oz. cup multipack. However, Natureview’s goal is to increase its annual revenue to $20 million in two years. With a solid relationship with its current, successful strategy in the natural foods channel it is considering expanding into the supermarket channel. Conversely, it does not want to hurt the company brand it has created as a premium yogurt brand in the natural foods market and betray those loyal, natural foods customers who made their business what it is today.

2. The best reason to choose my product is that we have had amazing growth within the past few years. We have had a great growth. We are a locally employed farm, and we have some a great management team that has helped to get our name to our customers. We take great pride in taking the best care of our fish.

The founder of Chobani Inc, Hamdi Ulukaya started in the summer of 2005 and he began creating this Greek yogurt with about five people. They spent eighteen months trying to make this yogurt as pure as possible and natural so that it would be a good product for others. Chobani’s Greek yogurt disrupted the attire category because of how good and natural it is and the fact that it is simple and perfect for many. They created the packaging with all sorts of colors because they wanted to stand out on the shelfs and grab people’s attention. Chobani’s main focus was the taste of the yogurt and they made it rich and creamy. Every time Chobani is mentioned they wanted people to feel happy and communicate enjoyment. Chobani sponsors

According to Natureview’s employees, “Natureview’s all-natural ingredients would deliver the most ideal positioning from which to launch their own children’s multi-pack product, which would offer into their core sales channel” (p.8). According to exhibit 5, Natureview accounts for 24% of the yogurt sales in natural foods channels. Natureview is the leading product in sales for natural foods channels and if they were to expand to supermarkets, then the product would account for less than 5% of the sales initially. If Natureview were to expand to supermarket channels, then they would have to mark down their prices of yogurt to 15% lower than what they sell at the natural foods channels. There is a potential risk of long-term partners of Natureview and current customers may have a bad reaction to the Natureview expanding in supermarkets and marking down their yogurt prices. There would be the possibility of Natureview’s current natural foods channels dropping the brand and replacing it with competitor’s line due to the brand expanding to supermarkets and selling at lower prices. There is also a possibility that Natureview wouldn’t survive in the supermarket channel against competitors. Some of Natureview’s employees feel that Natureview’s brokers do not possess the resources or skills to adequately sell their products in

“As an independent retailer, they know what their customers are coming in for… the consumer is more aware of natural products now… and certainly some locations are more focused on natural than others,” Wilmarth said. “For instance, our Pacific Northwest customers are extremely focused on all natural and sustainable resources and things like that whereas in the Northeast, the New York metro area, it’s more price-driven.”

Since there are various criteria before customers make a decision to buy yogurt, 70% of yogurt buyers concern on package type/size, taste, flavor, price, freshness, and ingredients. Natureview could meet many of those criteria, but there are some consumers, accounted for 44%, need for a wider range of selection or flavors of organic foods which the firm had to take it into a consideration as well as pricing strategy otherwise Natureview would not be able to meet the goal that easily.

Famous of organic yogurt is the highest selling in America, The system in this company consist of two important things:

Consideration: Its fresh vibes and strong associations with nutritional supplement with drinking a milk, make it relevant to consumers living in a society with the bad eating habit(for adults) or growth in health (for children)

As each type of product has its own target market, we must ensure that this market is properly researched, analysed and have an appropriate strategy to implement. A market by definition and be surmised at being “the set of all actual and potential buyers of a product” (Kotler, 1998). The yoghurt market consists of all the actual and potential buyers of yoghurt products.

The Nutrilon advertisement was able to target the intended market segment in which is the parents of children from age 3 to 6 years old. The advertisement was effective in many segments. The first segment is looking at demographic and psychographic variables. Inside the advertisements, the demographic variable is clear in which is using age as the base. It target the age of small kids from 3 to 6 years old in which is effective as the milk is targeted to the segment of consumers. On the psychographic variable, the advertisement use the base in which is the things we value. The advertisement is targeted to the parents in whom the things that they value will be