Wednesday, August 20, 2014

Management Case Study: Pillsbury's Haagen Dazs

STATEMENT OF THE PROBLEM:
Would it be better to use the Pillsbury’s Haagen-Dazs brand name or a different brand name for its low-fat ice cream?

OBJECTIVE:
To determine the best brand name that the Pillsbury’s Haagen Dazs shall use for its low-fat ice cream to counter its competition.

AREAS OF CONSIDERATION:
Market, Pillsbury Haagen Dazs, Competition

ALTERNATIVE COURSES OF ACTION
1.      Pillsbury’s Haagen-Dazs will still be the brand name to be used for its low-fat ice cream.

 Advantages:
The market already knows the brand name Haagen-Dazs as one of the brand names of ice cream.  The retention of brand name will also do good for the company because it will save them from extensive advertising in the market for it although there would still be advertising but not as much as having a new brand name.  Retaining the brand name would also be doing well to the company because it will make them look bigger than ever with their existing competition.

 Disadvantage:
The downfall of one product using the same brand name would also be the downfall of the rest of the products.

 2.      Pillsbury will use a different brand name for its low-fat ice cream.

 Advantages:
Usually the market would opt for something new and trendy so using a different brand name would pique the interest of the consumers and buy for it so it would make the product saleable.  The success of one product would also bring up the other products also.  It would be a good competition with the other ice cream products in their company.  A lot of companies are already using this kind of strategy and works well with them.

Disadvantage:
Pillsbury would spend a lot in advertising since it is using a different brand name. 

RECOMMENDATION
I recommend for alternative course of action number 1, that is, Pillsbury’s Haagen-Dazs will still be the brand name to be used for its low-fat ice cream because it would be least costly for the company and they are already known for their brand name of ice cream in the market.    The retention would strengthen their product in the market and the consumers would be anticipating a different but still delicious ice cream from them.  So I would rather grab the opportunity while the coin of success is still mine.

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