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Failure Case Study: Innocent Vegetable and Noodle Pots ; Risks of operating outside a brand's core business

Failure Case Study: Innocent Vegetable and Noodle Pots ; Risks of operating outside a brand's core business

  • January 2016
  • 14 pages
  • ID: 3573428
In this report:
With its financial difficulties, the company was unable to fund its earlier European expansion plan for its drinks products until Coca-Cola elected to invest in the business.
The UK's juice and smoothies market is expected to keep growing steadily at ##.##% CAGR (##.##% overall growth) between 2013 and 2019.

Summary

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Brief

Extending a brand into a additional category can be highly tempting; however, this step can be very risky especially if companies do not answer fundamental questions before taking this decision. Therefore manufacturers need to do intensive research about what effects the brand extension will have on the parent brand name, which types to expand into, and any risks that should be taken into consideration.

Main highlights

- Brand extensions can be very risky; however, the rewards can be great if companies do the right business assessments.

- It is vitally to find logical and appropriate categories to expand the brand parent name into.

- Undertaking intensive consumer and market research benefits firms to understand what the brand extension would bring to the market.

- Competition, price point, and quality are very crucial aspects that manufacturers should take into consideration before launching additional products.

Abstract

"Failure Case Study: Innocent Vegetable and Noodle Pots" is part of Canadean Consumer's Successes and Failures research and it benefits corporations apprehend the risks of expanding outside their core business. It also highlights what Innocent Drinks should have done to avoid launching unsuccessful food products on the industry. The market research is supported by Canadean Consumer survey data to give insight into consumer behavior and preferences.

What else does this report offer?

- Key attitudes and behaviors influencing ready meal consumption in the UK.

- Highlights about how private label brands dominate the majority of UK ready meals.

- A exhaustive analysis of the obstacles and risks faced by Innocent in its vegetable and noodle pots line.

- Important recommendations for manufacturers thinking about expanding their brands into additional categories that might break their business model.

- Proposals on how firms can avoid any financial losses by expanding their parent brand names.

Great reasons to purchase

- Distinguish the UK ready meals market, consumers' preferences, and the principal brands on the sector.

- Reduce the risk of failure by learning from brands/products that have underperformed: failed innovation can severely impact profit and reputation.

- Comprehend the efficient consumer trends and attitudes that drive and support innovation success so you can tap into what is really impacting the industry.

- Gain a broader appreciation of the fast-moving consumer goods industry by gaining insights from both within and outside of your sector.

- Access valuable tactical take-outs to benefit direct future decision-making and inform additional product development.

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