Essay Case Study – Truearth Health Foods

Words: 955
Pages: 4

Case Study – TruEarth Health Foods

In this paper I will discuss why the Cucina Fresca pasta was successful in light of the data in the case study tables Discuss why the Cucina Fresca pasta was successful in light of the data in the case study tables and whether there is a marked difference between customers who are likely to buy the pasta and those who will not. I will also analyze if there is a first mover advantage to Cucina Fresca introducing a whole grain frozen pizza into the marketplace and make a recommendation based on that analysis.

Background Gareth DeRosa founded TruEarth Health Foods in 1993 in St. Louis, Missouri when he saw a rapidly growing demand for gourmet sauces and pastas made from whole grains and
…show more content…
Well it is true that according to the survey results in Exhibit 10 of the Rangan & Yong article, that as many as 79% of existing Cucina Fresca customers definitely or probably would buy their home grain pizza product, that may not be the best data to rely on. It is easier to retain customers and to go out and get new ones, (Kotler & Keller, 2009). However, the result may be that existing Cucina Fresca customers simply substitute the pizza for the pasta product they would've already bought. Similar to the marketing plan for Diet Pepsi, the idea is not to attract current Pepsi users to Diet Pepsi, but to attract other diet cola users to Diet Pepsi. Otherwise there would be no overall boost in revenue for TruEarth Health Foods.

I do believe it is a good idea for TruEarth Health Foods to launch the whole-grain pizza, but maybe not on a large scale that they had originally planned. I do not believe the massive marketing campaign would result in a sustainable first mover advantage. However, since the retooling of their factory would be minimal and the additional options for their existing customers would not likely result in a loss of revenue, it may be a better idea to hold off on watching the product, but not hide their intent on developing a product. This may cause the competition to rush toward developing a similar product and shoulder all the costs associated with becoming the