Until now, Natureview has been sold exclusively through the natural foods retailer channel, so growing revenues by expanding distribution into the more mainstream supermarket channel seems a logical next step. Therefore, different people in the company have laid out differing plans for how revenue growth should be achieved, some of which involve branching out into new channels and others which focus on adding products in existing channels. Available Options Option 1 Small Cup, Select Markets : In this option, Natureview will test the waters of the supermarket channel by introducing their most popular 8-oz. Choosing six SKUs would allow them to have good shelf presence while maintaining a reasonable slotting expense and allowing time to scale up production before national expansion. Natureview could also gain first-mover advantage in supermarkets among organic yogurts.
Its manufacturing process including the special recipe, longer shelf-life, no artificial ingredients, and product variety differentiated the brand and positioned it distinctively. The yogurt was produced in Vermont and sold in natural food stores only. This was fueled by the withdrawal of the venture capitalist firm. The distribution strategies revolve around staying in the natural foods stores or further expanding out in to the supermarket channel. Therefore, the problem definition is that there is a need to expand and increase customer base to drive sales which would result in increases in revenues to meet corporate objective.
Get access to this section to get all the help you need with your essay and educational goals. Product line into one or two selected supermarket channel regions. Analysis Even though proposed option No. Although option No. Moreover, sales personnel with experience for sophisticated supermarket channel must be hired in order to establish relationships with brokers.