Mintel reported in April, 2020 that Ready to Eat (RTE) snacks injected new life into the popcorn snack market, by offering consumers a healthier popcorn snack option. Conagra and Pepsi, have two of the biggest popcorn brands in this category. Conagra's Orville Redenbacher popcorn brand (ie, market share = 13.3%) has reported strong revenue in both its RTE and microwavable brands. The Orville Redenbacher brand has also recently expanded to include several new RTE flavors like brown sugar cinnamon, and garlic butter & sea salt. PepsiCo's Smartfood line of popcorn snacks is the leading brand in the ready-to-eat popcorn category (market share = 16,3%), with a healthy-snack positioning. 9. Describe the growth strategy that Conagra is pursuing with the additional flavors to their Orville Redenbacher line of RTE popcorn. (3 points) A. Penetration B. Product Development C. Market Development D. Diversification 10a. A summary of Hershey's candy and popcorn portfolio of brands follows. Calculate the relative market share for the three Hershey brands listed. (3 points) Product Category Total Product Category ($M Rev) Product Category Growth % Brand Market Share (%) Name & Mkt Share-Primary Competitor Relative Market Share $1.9 Billion 2.4% Popcorn: Skinny Pop (#1) Hershey Skinny Pop 13.6% Pepsi's Smartfood 16.6% $18.6 Billon 1.9% Chocolate: Hershey (#2) Hershey 43.3% Mars-Snickers 29.8% $7.1 Billion 1.4% Non-Chocolate Candy: Twizzler Brand (#3) Hershey: Twizzler 10% Mars: Skittles & Starburst 22% 10b. In the BCG matrix (below) label the Category Growth and Relative Market Share axis using relevant information from the table above. Indicate where the three Hershey brands would fall on the BCG Matrix. (5 points) 10c. Based on the BCG Matrix for these three brands in the Hershey's product portfolio, identify the cash cow. Highlight all that apply. (3 points) A. Hershey's Skinny Pop Popcorn B. Hershey's Chocolate Bars C. Hershey's Twizzler Brand of Non-Chocolate Candy D. None of these are cash cows E. All of these are cash cows 10d. Based on how these brands are represented in the BCG matrix, which brands would you invest the most resources into? (3 points) A. Hershey's Skinny Pop Popcorn B. Hershey's Chocolate Bars C. Hershey's Twizzler Brand 10. Explain. (3 points) 11. What is the purpose of the BCG analysis. (3 points) A. Support management decisions to allocate resources B. Conduct a situational analysis of the product portfolio C. Identify products that may be a candidate for divestiture D. All of the Above E. None of the Above 12. Which approach to market segmentation reflects the attitudes, values, and lifestyles of a target customer? (3 points) A. Geo-demographic B. Psychographic C. Benefit vs. Cost D. Usage Based 13. Which approach to segmentation tends to be based on census data? (3 points) A. Geo-demographic B. Psychographic C. Benefit vs. Cost D. Usage Based
