Case Study

THE EVERGREEN STATE COLLEGE

Winter Quarter 2015

Business Innovation and Stewardship (BIS)

Case study: Saxonville Sausage Company

TRUNG NGUYEN

Questions:

1. What is the current situation?

2. How was the research methodology determined? Develop a research design and explain what behaviors, demographics and lifestyle components you deem important and why.

3. What were the research results? Select two different positioning territories in case Exhibit 6. Trace back through the case, using Exhibit 4 and other embedded information, to rationalize the development of these territory ideas.

4. What might a “positioning ladder” look like for each of the two “finalist” Italian sausage positionings?

5. What alternative do you recommend and why?

6. What tactics should accompany the product launch?

Answers:

1. Saxonville was a 70-year-old, privately held family business headquartered in Saxonville, Ohio, that well established German brand in the US with 2005 revenues of approximately $1.5 billion. Mainly producing fresh pork sausages.

Main brands:

_ Bratwurst: 70% of Saxonville’s revenues

_ Breakfast sausage, both links and patties (20% of revenues)

_ An Italian sausage named Vivio (5% of revenues), regional distribution: primarily in Boston, New Jersey, New York, Maryland, and South Carolina. Growing segment (+15% national mainly producing fresh pork growth in 2005)

_ Store- brand products accounted for the additional 5% of revenues

Saxonville’s current situation:

The primary situation in the Saxonville Sausage Company case was their need to increase the awareness, customer base, and sales with their Italian Sausage products. The flat sales they were experiencing in their breakfast sausage and bratwurst sales influenced the company to try and expand the market they were offering their Italian Sausage products to. The company was unsure of the way they were positioning their product and before launching a new marketing strategy to a...