Food & Beverages

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

  • CAN382980
  • 14 Pages
  • January 2016
  • Food & Beverages
Summary
Extending a brand into a new 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 categories to expand into, and any risks that should be taken into consideration.

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

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

Undertaking intensive consumer and market research helps companies to understand what the brand extension would bring to the market.

Competition, price point, and quality are very important aspects that manufacturers should take into consideration before launching new products.

Synopsis
Failure Case Study: Innocent Vegetable and Noodle Pots is part of Canadean Consumers Successes and Failures research and it helps companies understand 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 market. The report 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 comprehensive 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 new categories that might break their business model.

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


ReasonsToBuy
Understand the UK ready meals market, consumers preferences, and the main brands on the market.

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

Understand the relevant 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 strategic take-outs to help direct future decision-making and inform new product development.
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