Old El Paso Case Notes

In: Business and Management

Submitted By YuliaSpriggs
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El Paso Case Notes

Background * 75 year heritage * 100 products in 6 different sub-categories: * Mexican sauces * Refried beans * Taco shells * Taco sauce mix * Dry dinner kits * Chilies * Good trade distribution and in-store presence * Regarded by retailers as leader in Mexican food category * Undisputed market share leader for 30 years * Decline in full line of Mexican Food offerings with growth rate of 4.5% lower due to decline in share for Mexican sauces * High levels of unaided brand awareness
* Implement a growth strategy that will result in a X% sales increase for the brand * Regain market share in Mexican Sauces (steal share from Pace)
* Strengths * Very large market share- suggests that they can use this to their advantage as many customers already know their products and are willing to buy one * Very diversified product line * Large distro chain: they already have a large distribution chain which believes in their products so they will likely be open to a new marketing campaign that will increase business * Weaknesses * Mature brand in a slow growing market-> means they need to either introduce a new product in this mature market or find new uses for their current products and promote them to get new clientele to grow at the mature stage * Opportunities * Launch successful marketing campaigns and new products * Threats * Private label * It is considered a premium product in Mexican meal kit section as majority of the products are priced higher than the competitors * Currently the market share for Old El Paso has been going down in 2 categories (Mexican salsa and Mexican dinner kits specifically) * Competitive Analysis * Direct * Private…...

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