What brand problems did the Massimo brand create for the Gardenia brand? In 1986, the first Gardenia
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What brand problems did the Massimo brand create for the Gardenia brand?
In 1986, the first Gardenia loaf was produced in Malaysia. By 1990, the brand had become the leading supplier in Malaysia, prompting the business to open its own fully automated factory the following year. The incredible demand had to be met with a huge increase in production. In 1991, the new factory line could produce 6,000 loaves an hour. By 1994, this had increased to 10,000. Today, there are six fully automated lines producing 900,000 loaves each day. This makes Gardenia the biggest fresh bread producer in South East Asia. One of Gardenia’s primary suppliers was the Federal Flour Mills (FFM). In 2012, with Gardenia switching suppliers, FFM responded by promoting their own rival brand Massimo. At the same time, an online campaign was launched to urge Malaysians to switch brands from Gardenia to Massimo. FFM was quick to point out that they were not behind the Facebook and email campaign. The other factor made clear in the campaign was the fact that Massimo was significantly cheaper than Gardenia. The standardsized white loaf was the same price, but whilst Gardenia’s longer white was RM0.05 cheaper, their wheat germ was RM0.70 more expensive.
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