Market Analysis Giant Consumer 
Market Analysis for case of Giant Consumer Products
DATE: Nov,3 , 2014
TO: Professor. Tim Gilbride
FROM: Xiaorong (Sharon) Yi, Tongbo (Tony) Cheng
SUBJECT: The Sales Promotion Resource Allocation Decision
_____________________________________________________
Purpose Statement
This report determines that in order to generate short-term sales lifts, Frozen Foods Division (FFD) of Giant Consumer Product (GCP) should put Nature Meals on promotion. The recommendation is based on the analysis of existing data which including sales volume, sale promotion and other key marketing metrics. We also need to know that during this calculation, we made several assumption which some of them are detective. We also recommend FFD should gather more data for making an informative decision with prudence.
Background
Frozen Foods Division (FFD) of Giant Consumer Product (GCP) had grown successfully over the past 30 years by anticipated industry trends. Currently, as a market leader in frozen food industry, FFD had a 43% national market share (by revenue) in the “Italian frozen dinners and entree offerings” subcategory-one of the largest categories in frozen food aisle in supermarkets. However since 2007 this category growth had been lower and FFD was facing the sale stagnancy within this sector. In 2008, FFD sales volume was 3.9% behind plan and gross revenue was under plan by 3.6% (with the equivalence of about $14.5m) and marketing margin was also under plan by 4.1% (with the equivalence of about $6.5m).
The Allocation Decision
For FFD implementing the promotion, there are 3 options:
1. Promote Dinardo’s 32-ounce packages
2. Promote Dinardo’s 16-ounce packages
3. Promote Natural Meals
Framework of analysis
Sanchez, the brand manager at GCP and Davidson the general manager of FFD has principle about the promotion. They were highly motivated to increase the gross revenues and sales volume meanwhile they would like to use the ROMI to evaluate promotion efforts.
To establish the
DATE: Nov,3 , 2014
TO: Professor. Tim Gilbride
FROM: Xiaorong (Sharon) Yi, Tongbo (Tony) Cheng
SUBJECT: The Sales Promotion Resource Allocation Decision
_____________________________________________________
Purpose Statement
This report determines that in order to generate short-term sales lifts, Frozen Foods Division (FFD) of Giant Consumer Product (GCP) should put Nature Meals on promotion. The recommendation is based on the analysis of existing data which including sales volume, sale promotion and other key marketing metrics. We also need to know that during this calculation, we made several assumption which some of them are detective. We also recommend FFD should gather more data for making an informative decision with prudence.
Background
Frozen Foods Division (FFD) of Giant Consumer Product (GCP) had grown successfully over the past 30 years by anticipated industry trends. Currently, as a market leader in frozen food industry, FFD had a 43% national market share (by revenue) in the “Italian frozen dinners and entree offerings” subcategory-one of the largest categories in frozen food aisle in supermarkets. However since 2007 this category growth had been lower and FFD was facing the sale stagnancy within this sector. In 2008, FFD sales volume was 3.9% behind plan and gross revenue was under plan by 3.6% (with the equivalence of about $14.5m) and marketing margin was also under plan by 4.1% (with the equivalence of about $6.5m).
The Allocation Decision
For FFD implementing the promotion, there are 3 options:
1. Promote Dinardo’s 32-ounce packages
2. Promote Dinardo’s 16-ounce packages
3. Promote Natural Meals
Framework of analysis
Sanchez, the brand manager at GCP and Davidson the general manager of FFD has principle about the promotion. They were highly motivated to increase the gross revenues and sales volume meanwhile they would like to use the ROMI to evaluate promotion efforts.
To establish the