TRUEARTH HEALTHY FOODS

ANAND SHANKAR V RAJIV RAJENDRAN SAHIL KHANNA DONA ANNA CHERIAN AKHL CHOPRA DHWANAY SHAH NITESH GARODIA SNEH BARATIA PARITA JAVERI

TruEarth Healthy Foods

Started in 1993, by an entrepreneur DeRosa Pioneers in providing quality, healthy and authentic pastas Driven by innovative free willing and entrepreneurial spirit Introduced a 60% as well as 100% whole grain pasta Cucina Fresca which was a great success

About Cucina Fresca Pasta

Launched in 2006
Tapped the growing demand for healthy HMR efficiently

Only one strong competitor Choices of pasta & sauces Single meal for 2 $35 million sales - 2007

1. Why did Cucina Fresca succeed?

First Mover Advantage No strong player Unmet demand Healthier and tastier than competitors Quick, easy instructions, proper proportions, and suggested add-ons Aggressive competition to Rigazzi

2. Product Development Process

STAGES

For Pasta

For Pizza

Idea Generation

Tapping the quick HMR market , need for healthy tasty whole grain options Formal surveys like mall intercepts

Threat by competition in pasta segment, large pizza market, health trend Concept tests, Mall intercepts, interviews of grocery shopper Home Trial through sample kits and taste tests.

Concept Screening

Product Development and Testing

Convenience and Variety and Testing through Focus Groups without actual taste tests

Quantification of Volume

Customer Awareness & Interest. Estimated sales required: $14 million

Customer interest and quantification of estimated sales and repeat sales. Estimated sales required - $12 million

3. Market Opportunity for PASTA versus PIZZA

PASTA
Market-$4.4 billion in 2007 Launched as a new brand Cucina Fresca Is considered as a MEAL Perceived price value gap was lesser

PIZZA
Market-$5.8 billion in 2007 Brand awareness already created due to Cucina Fresca Is considered as an INDULGENCE Perceived price value gap was higher

4. Demand Forecast

SWOT
STRENGTH
First Mover Advantage Favorable quantified estimates Brand awareness of TruEarth and Cucino Fresca Large pizza market Health trend

WEAKNESS
Popularity of competing categories Perceived lack of taste Expensive- as per study

OPPORTUNITIES
Convenient health trend Chance of lessening use of substitutes (Ex.6) No large player at the moment

THREATS
Ragazzi New pizza concept test done. BASES tests might be proved wrong leading to business risk.

Our Recommendation

Launch Pizza line immediately Revisit the price of the pizza kit Market it competitively