UNITED CEREAL

LORA BRILL’S EURO BRAND CHALLAENGE

A case study from:

Charbonnel-Descourtieux Julie - 54094
Da Mota Ferreira William - 54122
Grandgirard Juliane - 51062
Nguyen Dinh Khanh - 56538
Alan Righi - 53134
 QUESTION 1

SUPPORTING FACTS CONCERNS

• Growing interest in healthy breakfast

• High lauching cost (>$20mil)
• 64% repurchase intention rate
• Beyond cost approval authority of the Division VP
• Positive shipped volume & product share test results
• High potential of new competitors
• Only one competitor in the product segment
• Lack of validated full test-market data
• In line with UC’s innovation core value

SUGGESTION:

As Lora Brill, we would authorize the launch of this product in France. It seems to be adapted to the current customers’
needs and expectations regarding cereals. Consumers tend to look for healthier alternatives, thus we can predict they will be
receptive to the Healthy Berry Crunch. As there are a lot of potential future competitors, we recommend to launch it very
quickly in order to do a timely investment and raise United Cereal’s market shares.
.
 QUESTION 2
SUPPORTING FACTS CONCERNS

• Change in existing organiztional structures

• Advantage of moving before competitors.
• Advantage of economies of scale
• Marketing & PD cost savings (10%-15%)
• Consistent test results in Germany & France
• Non-compliance with UC way
• Different perspectives internally
• Test sample is not large enough to represent the whole
European Market
• Huge variance among different countries in term of
cusumer tastes & habits for cereal products
• Possible insufficient budgets

SUGGESTION: Though Eurobrand plan may have lots of bnefits in long-run, it is not the right time to launch the brand
across the whole European market because of many complex issues that haven’t been addreesed yet. We suggest to delay
the launch of the Eurobrand on large-scale in order to have deeper research into the market penetration & organizational
restructure strategies.
We recommend to carry out the projects in multiple stages. UC can first launch the brand in France in order to test
customers’ reaction to the European-coordinated taste. Based on observations of France market, they could gradually
modify strategies before expanding to other market & finally launching on large scale. By doing so, they also have more time
for organizational restructuring and lessen budget constraints while securing their early presence in the product segment.
 QUESTION 3

Set up project team

Pilot launch in France
Review and Evaluation
Pilot launch in Germany
Review and Evluation
Organizational…
Large scale lauch
THANKS!