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Kudler Fine Food's Launch of a New Gluten-Free Product

Essay by   •  August 6, 2011  •  Case Study  •  3,192 Words (13 Pages)  •  2,397 Views

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Product Launch Plan

Kudler Fine Food's launch of a new gluten-free product line required the company's marketing team to do extensive research into the need for this product in the current market. The first step for the company was a launch in the company's home market of France. Once the successful launch took place in the home market, the marketing team decided to expand internationally beginning with Italy. Research into the marketing process including the market position of the product, need for the product, competition, marketing strategies, and marketing budget all factor into the company's decision to bring the product to market. The marketing team reviewed data for both the home and international market using data from numerous sources.

Product Description

Kudler fine foods, a gourmet food supplier based in France presently looks to expand the company's market offering of fine foods. The new product must appeal to the individual consumer, businesses, and the global market. Kudler has decided to market a specialty line of gluten-free baked goods in addition to their current bakery offerings. The new product offering consists of a variety of baked goods to include bread, rolls, and pastries. To be considered gluten-free, processing of the gluten-free products must take place without the use of certain grains that include wheat, rye, barley, and other hybrids. Kudler packages the baked goods individually for sale, and in various-sized packages for use in restaurants.

Product Positioning

Kudler Fine Foods will market a line of gluten-free baked goods for customers in France and Italy. French consumers are looking for healthy options because of the increased awareness of the need for gluten-free products. Italy currently holds the number two position in the market for need of gluten-free foods, following closely behind the United States (Ebrahimi, 2008). According to Schoenstandt (2011), 1 out of every 250 citizens in Italy suffers from celiac disease. This number could be much higher with undiagnosed cases. The high need for gluten-free foods makes Italy an understandable choice for global expansion. The gluten-free market is sustainable, as there is no cure for the disease. The best option for celiac patients involves adjusting to a gluten-free diet.

Many gluten-free markets have experienced double-digit growth in recent years because an increasing number of celiac in the food (Research & Markets, 2010). Health conscious consumers are mindful of the ingredients and nutritional value. Therefore, Kudler strives to remain competitive by embracing the health awareness trend. They will be providing a greater awareness of celiac disease, which is a global reaction to the gluten protein found in wheat.

Targeting a specific audience is very significant any company's success. Kudler Fine Foods is a prominent upscale business that specializes in finest gluten-free bakery products. In the early stages, marketing strategists will target the local market and eventually transition to mass marketing to support all buyers. Kudler Fine Foods will address the local Italian market by using the following target marketing tactics:

Geographic- Kudler Fine Foods will be promoting healthy food options by catering the gluten- free bread to the suburban and rural regions of Italy.

Demographic- Kudler Fine Foods will target working to middle-class citizens between the ages of 20-65. Most consumers' life statuses are young college students, middle age adults married with children, and elderly citizen in the local community.

Psychographic- Kudler Fine Foods will target cultural and health-oriented consumers with ambitious and optimistic personalities.

Behavioral- Kudler Fine Foods will target regular to special occasion consumers with their gluten-free bread. Loyal consumers will benefit from quality reward cards by receiving discount points per purchase. Therefore, this marketing tactic will entice enthusiastic and positive consumers (Kotler & Keller, 2007).

Market Needs

Kudler Fine Foods has to understand the market needs to make an effective impact in the Italian market. Therefore, Kudler Fine Foods will use market research and reports to determine Italy's needs. Web Finance Inc, (2011) states market needs are an increase in consumer demands for a specific product or service. Therefore, marketers strive to research, indentify, and satisfy with promotional opportunities within region. For an example, Kudler Fine Foods will survey local consumer's needs and conduct a competitor's SWOT analysis prior to establishing business in Italy. The surveys will focus on potential consumer's average income, Kudler's product and service needs, and consumer purchasing dynamics. The Chartered Institute of Marketing, (2011) reaching out to consumers to monitor their spending habits are one of best market research strategies.

Consumer's health and routine eating habits are other market needs. According to Nation, almost nine percent of Italy's population is obese (2011). Kudler Fine Foods is promoting gluten-free breads that are cost-effective in the Italian community. Most Italian dishes consume white enriched bleach breads with high carbohydrates. Therefore, the new Kudler Fine Foods bakery will offer healthier bread options.

Market Potential and Growth

Kudler Fine Foods has marginal market potential and growth in the Italian market. According to Trading Economic (2011), Italy's unemployment rate is more than eight percent and the consumer confidence has plummeted to 105.8 in June 2011. The consumer confidence is a monthly survey signifying the citizen's level of optimism regarding the economy and personal conditions. If confidence is low, citizens are typically saving money and it is affecting the economy. However, if confidence is high, citizens are spending money and are stimulating the economic expansion. Therefore, in the first business quarter, Kudler Fine Food owners may have to market and compromise their according these conditions.

On the other hand, Kudler Fine Foods have a reason to be optimistic on the market growth. Trading Economic, (2011) states Italy imports are worth 35498 Million Euros in 2011. Italy imports include food and beverage products from European Union partners that includes the Kudler domestic market in France. Nevertheless, Kudler Fine Foods gluten-free bread will increase Italy's market growth.

SWOT Analysis


Strengths Weaknesses



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