Essay About Natural Food Market Retailers And Superior Product Quality

Strengths Weaknesses
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Strengths
Strong brand identity
Trusted and valued by consumers
Superior product quality, taste and texture which is difficult for competitors to imitate as its family owned
Longer product shelf of 50 days as opposed to competitors shelf life of 30 days
Product has unique health properties such as improved digestion and calcium
Strong relationships in natural food market retailers such as Wild Oats and Whole Foods
Channel leader in natural goods, accounting for 24% of market share
High revenue growth over past 10 years from $100,000 to $13M
Not use of hormones or additives
Consumers of organic foods are not as price sensitive and therefore willing to pay more for a superior product
Weaknesses
Not ventured into the supermarket channel
Relatively undeveloped brand
Small player in the overall yoghurt product market
High dependence on distribution relationships
Difficult to compete with major players who already have a well-established position in the supermarket channel
Opportunities
High potential for growth in the supermarket channel
Possibility to reach an entirely new target segment
Brand expansion and/or extension
Lower product costs
Natural/organic food industry expected to grow by 20% by 2003
Potential to expand into special foods market with gluten free/lactose free yoghurt substitutes
Similar natural food brands such as Silk Soymilk and Amys Organic Foods had successfully expanded their distribution to the supermarket channel and increased revenues by over 200%