IMPULSIVE SELLERS
Kremmer Foods had made a name for itself in dairy products and processed foods. Could it repeat its success in an impulse purchase category like fruits?
PRATAP Rao was excited as he rummaged through his files and cupboards. He was looking for data on Funsip, the once successful but now dead fruit drink brand of Kremmer Foods. Rao, who was head of marketing at Kremmer, was determined to bring Funsip back from the grave.
His determination was rooted in research that had indicated that the processed foods sector was poised for phenomenal growth. Kremmer wanted to tap this opportunity. Rao's objective was to expand the processed foods category by introducing ready-to-use products. While such products would remain niche items, he was also researching other products that would be accepted by the mass market.
Mass market products like processed milk, packaged atta (flour) and bakery products were identified as major opportunities in the foods business – high-growth products that promised big volumes. Reports said rising income levels had changed the food consumption patterns of the rich as well as the not-so-rich. At one level, the lower middle class was emulating the eating habits of the rich by laying greater stress on nourishment and quality. At another level, as choices increased, the high-end consumer was getting more adventurous when it came to eating. Funsip was targeted at this segment.
Rao was happy when Kremmer decided to expand its processed foods division, particularly the biscuit and frozen vegetable categories. That was when he hit upon the idea of introducing processed fruits. A fruit-based drink would be ideal, he reasoned, because it would fit snugly into the ...