Premium Essay

Natureview Farms

In:

Submitted By molly10
Words 1535
Pages 7
Case write-up: Natureview Farms

Natureview´s Success
Natureview Farms was founded in 1989 and is a small yogurt manufacturer selling refrigerated yogurt cups. Natureview has gained its success by differentiating from competitors with its all-natural recipes and long shelf life (50 days compared to competitors’ average of 30 days). It has grown its revenue from less than $100,000 to $13 million in 10 years. Because of their high quality products, great taste, natural ingredients, strong reputation and established channel strategy selling only in natural foods stores, they have developed into national distribution and shared leadership in this channel. Their marketing strategy is creative, low-cost “guerilla marketing” which has proven successful with the targeted channel. Part of Natureview’s success is also due to the building of strong relationships with the leading natural food retailers.

Growth Strategies
Despite its success and growth Natureview Farm has struggled to maintain a consistent level of profitability. In 1997 William Wagner, financial officer (CFO), arranged for an equity infusion from a Venture Capital (VC) company, and now the VC needs to cash out of its investment leaving Natureview management with two options: either find a new investor, or prepare for acquisition. For both options an increase in revenue is critical in order to gain the highest valuation of the company. The Natureview management therefore needs a plan to grow their revenue with over 50% to reach $20 million in revenue by 2001 (current year 2000). The two primary types of growth strategies under consideration by Natureview is either to expand into the supermarket channel or extend their product line in existing natural foods channels. The reasons for going into supermarkets is that supermarkets sold 97% of all yogurt consumed in 1999, leaving just 3% sold in natural food

Similar Documents

Premium Essay

Natureview Farm

...Natureview Farm success, growth strategy and financial analysis of the three options under consideration Natureview Farm yogurt originated in 1989 and was based on the family recipe that used only natural ingredients, and no artificial flavors or thickeners. That was one of the main points of differentiation from bigger competitors such as Dannon, Yoplait, and Breyers, and gave the Natureview farm yogurt the privilege of a niche producer. Moreover, Natureview Farm’s yogurt’s average shelf life was 50 days, 20 days longer than that of competitors. That way special production process and ingredients helped Natureview Farm to save on efficient supply chain that competitors needed to reduce shipping time to their distributors. Strong reputation for high quality and great taste, as well as high perception of natural ingredients helped the company to grow quickly to national distribution. The Natureview brand occupied the organic & natural segment that was not served adequately through the normal retailing chains at that time. Natureview Farm was considering two growth strategies: through Supermarket Channel and through Natural Foods Channel. Supermarket Channel usually dominated by large manufactures such as Dannon and Yoplait. The product takes just four steps before it gets to final consumer. In this channel an 8oz cup sells for $0.74. However, in order to sell its yogurt in the supermarket channel, Natureview farm has to pay a “slotting fee” for each flavor of...

Words: 1570 - Pages: 7

Premium Essay

Natureview Farm

...PROBLEM FORMULATION NATUREVIEW FARM CASE SUBMITTED BY: UNNIKRISHNAN V 1. Organization: Natureview farm, Inc. Protagonist : Walter Bellini, Vice president of sales. Jack Gottlieb, vice president of operations Kelly Riley, the assistant marketing director 2. The strategic marketing dimensions to the company’s situation : * Growing revenue of the firm from current value by the end of 2001 fiscal year to avoid cash out. * Expanding the market share. 3. What is the significance of the problem to the subject? * Strengths: Major and trusted brand in natural foods, Product Quality, Strong relationships in natural food market, Channel leader, Relatively Rapid revenue growth, longer product shelf Life. * Weakness: Owns Small portion of the yogurt market, not ventured into supermarket channel, High dependence on brokers for distribution and promotion, inefficient nature foods distribution channel. * Opportunities: Supermarket channel provides significant potential of growth, Natural food’s sales expected to grow by 20%, Opportunity for lowering customer cost. * Threats: Lack of Capital, Main competitor (Horizon) is getting stronger, No expertise in supermarket channel, Company may have to reposition, Risk Inter Product cannibalization. 4. What are the decision options? * To expand six SKUs of 8-oz product line into one or two selected supermarket channel regions. * Expand 4 SKUs of the...

Words: 329 - Pages: 2

Premium Essay

Natureview Farm

...Natureview Farm Founded in 1989, Natureview Farm is the leading manufacturer of refrigerated cup yogurt in the natural foods channel with 24% market share. In the last 10 years, Natureview was able to grow its revenues from less than $100,000 to $13 million in 1999 by selling only 8 Oz and 32 Oz cups. In 1997 an equity infusion from a venture capital firm was needed in order to fund strategic investments. The deal was arranged and completed by Natureview’s CFO, Mr. Wagner. However the VC firm now needed to cash out of its investment, which forces Natureview to find another investor or position itself for acquisition. In order to achieve this though strategic and important goal the company needs to increase its revenues by more than 50%, from $ 13 Mio. to $ 20 Mio., by the end of 2001. For this reason, members of the management team have decided that the best way to achieve the revenue goal is either to expand into the supermarket channel or to increase their product line in the current channel of natural foods stores. Three options are being considered, two of which involve the supermarket channel and one remaining solely in the natural foods channel. Uncertainties exist with all options and many questions arose, such as how will natural foods stores and Naturview long-time partners react when placing the brand into supermarkets? Would natural foods stores replace Naturviews’ products with competitors’ lines? What potential conflicts could arise? Etc. There are many more important...

Words: 3699 - Pages: 15

Free Essay

Natureview Farm Case (Solved)

...Instituto Tecnológico y de Estudios Superiores de Monterrey Campus Ciudad de México. Estrategia de Operaciones Benjamín Casar 971389 Angélica Hernández 1490033 Natureview Farm Tabla de Contenido Introducción ………………………………………………………………………………………………………………..2 Modelo de Negocio: 2 Identifica las razones por las que la red de abasto de Tamiflu fue incierta despues de haber cumplido con las backorders. 3 Valore los elementos a considerar en el manejo de reservas para una pandemia global. 3 Determine los retos para construir una cadena de suministro coordinada para el manejo de la estrategia antiviral global. 3 Actualización del Caso 4 Bibliografía…………………………………………………………………………………………………………………4 Introducción: El problema principal de Naturview es que tienen que realizar decisiones estratégicas de mercadotecnia para tener un crecimiento de $13,000,000.00 a $20,000,000.00 antes de llegar al final del 2001 Análisis FODA: Reconozca los factores de éxito de Natureview en términos de producto y canal comercial. En términos de producto: * El tiempo de vida en anaquel que es de 50 días contra los 30 días de los productos competidores. * Un producto totalmente natural y orgánico por completo, desde la leche utilizada de vacas que no han sido tratadas con rGBH, que es una hormona para incrementar la producción de leche, hasta los ingredientes adicionales con el que es preparado. * La fuerte reputación que tiene el producto por ser de gran calidad...

Words: 918 - Pages: 4

Premium Essay

Case Analysis of Natureview Farm

...AIC Netbooks: Optimizing Product Assembly Diyora Hitesh V Regd No. PA1110 Abstract AIC Systems is a producer of printed circuit boards, focusing on motherboards and graphics cards for the personal computer industry. The company is involved in Original design manufacturer and so the company took an active role in innovating and designing each new generation of components. The firm decides to diversify its portfolio to include consumer electronics with a particular focus on mobile technology. The new netbook market provides an opportunity for AIC Systems to design and manufacture a branded product in the mobile electronics industry. The production manager has created an assembly line for producing the new netbooks. PROBLEM Now to meet the demand employees are working for 10 to 12 hours which is not sustainable for long time. The Chief Strategy Officer is expecting the demand of Netbook over 130,000 units in next one or two months. The problem faced by company is to meet the demand of Netbooks by improving the assembly method and by managing production activity. And also problem faced by company is of Labour efficiency Variance. ANALYSIS For increasing production of Netbook to cop up demand two options are available: First option: Increasing Shift. FOR: * Production will increase and also time of one shift is reduce to 8 hours. * Cost of installing new line will saved. * Optimum utilization of capacity...

Words: 517 - Pages: 3

Premium Essay

Typical Sugar Plantation

...LAYOUT OF A TYPICAL 18YH CENTURY PLANTATION According to Claypole plantation lands were divided into several sections: cane fields, pastures lands, woodlands, provision grounds, work yards and living quarters for managers and labourers. Most plantations had from three to five cane fields, each surrounded by closely trimmed trees and walls made of lumber or stone wall to protect the crop from cattle. Each field was divided by narrow roads into smaller square plots of 6-9 hectares. This made it easier to manage the gangs that were cutting the cane and the movement to the work yard. According to Hamilton Wille the pastures lands were areas that was reserved for animals, mainly cattle, horses and mules ,and were extremely important. They provided manure for the cane fields and vegetable plots, and some could be even slaughtered to provide meat for supplement the diet of the estate population. The woodland provided lumber for the estate. Lumber was used for a various purposes such as the construction of buildings as well as fuel for the boilers and for cooking. Provisions grounds were unused lands and were generally cultivated on marginal lands, and were extremely important to both the planters and to the slaves. Caribbean history for cxc, Provisions grounds were poor lands on the plantation given to the slaves so that they may grow their own food, working the ground in whatever free time they were given and on Sundays. This was meant to decrease the cost...

Words: 409 - Pages: 2

Free Essay

Major Causes of Deforestation

...Deforestation. 1. Is the expansion of farm land, the need for agriculture and the global demand for food has increased? The need for global commodities has driven large farmers to clear the Forrest at a massive rate. One of the largest commodities the demand has increased for is Palm Oil. This need for Palm oil is so great that it not only has destroyed acres of rain forest but this need is starting to such a strong effect that people families are becoming displaced. 2. Cattle ranchers are becoming a large driving factor of deforestation. The growth in human society is booming. Because of the population of the world there is less and less land for cattle to graze from. The ranchers in Brazil are responsible for” 75% of deforestation in Brazil is linked to the cattle industry, with the cattle herd in the Amazon growing by 140% from 1990 to 2003” http://knowledge.allianz.com/environment/climate_change/?665/The-top-10-drivers-of-deforestation 3. Logging and Timber is becoming as affluent as the drug trade and other black market activities. 80% of the logging in the worlds Rain Forrest is illegal. Due to the large demand for logging many of the countries authorities are taking bribes and letting greed over rule the law. 4. Mining is becoming a major factor in deforestation particularly in developing countries and contents. All though mining isn’t as big of a factor as three logging, cattle ranching and increase in farm land it does still have some harmful effects...

Words: 399 - Pages: 2

Free Essay

Mahoning County Agricultural Development

...2014 Mahoning County Mahoning County is located in the northeast corner of Ohio on the Pennsylvania-Ohio border. Ohio is a diverse and thriving agricultural presence in the world today and is poised to stay that way for years to come. Mahoning County specifically is an urban agricultural zone encompassing the city of Youngstown, OH as well as other robust urban communities. In Mahoning County there are 578 farms, averaging 130 acres per farm. This is slightly lower than the state average of 185 acres per farm, but has increased from the 2007 census average of 111 acres per farm. The average age of the principle operator of a farm in Mahoning County is 58 years old of which 279 of the 578 of these operators listed farming as their primary occupation. This leaves 299 listing farming as their secondary occupation. (USDA, 2014). Most farmers are not “specialized” and produce more than one agriculture product. The total market value of all agricultural products sold is approximately $65 million which is up 45% from 2007. Average product sold per farm is $113,234, also up 45% from 2007. The leading agricultural products of Mahoning County listed by commodity group value of sales are grains, oilseeds, dry beans, and dry peas at approximately $23 million and milk from cows at $22.7 million. The top crop items of the county are: soybeans for beans at 15,556 acres, corn for grain at 14,422 acres, forage-land used for all hay and haylage, grass silage, and green chop...

Words: 855 - Pages: 4

Premium Essay

My Booots

...THE SLAVE DRIVING FATHER It is true that being raised on a farm constitutes more responsibilities for children. They are expected to do different chores than city kids. There is a story that a boy from Iowa tells that makes a person ask if a line should be drawn where the work is concerned. How should a parent handle their expectations? This boy had a lot of resentment, and rightfully so. His dad woke him up every morning chanting the spelling of the word work. Starting at age six he was expected to jump up out of bed, find something to eat, put dirty stinking clothes on, and get to work in the pig barn. This little boy from Iowa wished that cleaning his room was all he had to complain about. That was not the case. He was expected to go into a filthy pig barn, and scoop up the feces of the animals. He had to wear unwashed clothing from the days before that hung outside in the cold. All he ever ate for breakfast was cold cereal that he had to fix himself. When he finished cleaning the barn he would take long showers to get the smell off of his skin, but it did not work. Not even industrial strength soap would remove the odor left on the skin from being in the pig barn. The father of this little boy never showed any compassion before, during, or after he worked so hard. A parent ought to be kind and loving toward their children, even while teaching them about the importance of responsibility. This little farm boy often felt sad, and even thought about hiding sometimes, because...

Words: 1034 - Pages: 5

Free Essay

Not My Grandfather

...Not my Grandfather’s Farm Background Farming has forever been a part of the Schisler family. The farm was created by and has stayed alive to this day, through hard work, blood, sweat, and tears. Just outside of Astoria Illinois there is an old gravel road named Shaw/Schisler road. At the end of this road you will not find big fancy machinery, or state of the art buildings, you will not even find cable television. What you will find though is one of the last farms in the area that is still family owned and operated and one that has survived by using old-school farming techniques that have been passed down from one generation to the next. By no means is my family farm a big business or multi-million dollar agricultural enterprise, it is exactly what my great-great grandfather intended for it to be when he started it way back when, a family farm. Sadly I do not know how much longer I will be able to say that. The advancements in information systems and technology have made old school farming a thing of the past. No longer are farmers using almanacs or the fact that old Joe’s knees are hurting this year so it is going to be a harsh winter followed by a dry summer, which is bad news for the agriculture industry. With computers, phones, tablets, and many other electronic devices a farmer can stay up to date with soil trends, weather analysis, crop growth pattern, all while sitting on the front porch swing drinking cup of coffee. If it were up to me, I prefer the old ways...

Words: 318 - Pages: 2

Premium Essay

Renewing Husbandry Wendell Berry Summary

...In “Renewing Husbandry,” Wendell Berry argues against the industrialization of farming. He begins by explaining that it began with the invention of the tractor; when his farm first utilized the tractor he resented the mule plow that his father used. He saw the mule team as slow and ineffective, however, later he recognized their value in their slow caring pace of working the land, which he labels “husbandry.” He then claims that the economic growth of society has devalued farming and forced small farms to diminish while large farms flourish. He views that this shift of economic power creates a harmful blow to the quality of farming, he blames mechanization for the destruction of small farms. This ridicule of industrialized farming fails to understand that the renewal of husbandry begins with the individual. Berry believes that the mechanization of farming creates separation between the farmer and the land. Berry states, “Once one’s farm and one’s thoughts have been sufficiently mechanized, industrial agriculture’s focus on production, as opposed to...

Words: 751 - Pages: 4

Premium Essay

Farmbot: The Future Of Home Farming

...It can be green by running on solar power and recycled rain water. It will reduce food waste because it is designed to grow enough for 1 person all year long. It can reduce waste from large scale farmers and grocery stores who feel they should throw out produce with an unappealing appearance. It will reduce the use of harmful pesticides and fertilizers. It will improve health by making fresh food more available to those who want it. On the flip side, using a robot to farm will take away jobs from farmers and can cause a lower work ethic by those who use robotics to do everything for...

Words: 424 - Pages: 2

Premium Essay

Julian Beever Essay

...CASE STUDY- JULIAN BEEVER BIO/ARTIST Julian Beever was born in Cheltenham in 1959. He grew up in Melton Mowbray and began pavement art as a form of busking. Beever’s current lifestyle is using his commission payment to fund his travels around the world and showcase his art. He has worked in places such as Belgium, France, Germany, Austria, Denmark, (etc.) BODY OF WORK Julian Beever is a commercial chalk artist that specialises in abstract techniques. His style of drawing is a form of illusion created with chalk, water and certain camera lenses to help make the illusion more prominent. Beever encourages interaction with his audience by asking them to help him draw or stand in the photo he takes of the art. INFLUENCES AND INTENTIONS The inspiration for Julian Beever’s chalk art originated from the “Punch and Judy Show” where he used to watch other chalk artists in the streets showcase their work. Beever has been travelling the world for over 20 years, presenting his own art to the local communities. He draws simply for the general public’s enjoyment and to earn money from his commission payment. Beever continues to amaze the art world with his anamorphosis technique and his ability to express his artistic talent freely on the pavement. He is not only an artist but also a writer and released a biography containing photographs of his work. TECHNIQUES Beever uses a projection technique that creates a 3D illusion on the concrete base he draws on. This technique is called anamorphosis...

Words: 554 - Pages: 3

Premium Essay

Wisdom Of The Last Farmer Masumoto Analysis

...With the changes that Masumoto has noted to happen within the agricultural industry, he has also listed adverse effects on small family farmers as a result of corporate farming. The most critical effect that he points out is a result of a belief that he has developed through farming. Masumoto values the belief of taking the time to relish in the little things of life, and is afraid of letting small things pass him by without him noticing them. This belief carries over into how he raises his crops, which is slowly to nurture the best taste. In regards to taste, Masumoto states, “If we’ve done our work correctly, it’s no longer about our fruits but rather the creation of a personalized story of flavor, a spirit of perfection that goes beyond our farm’s boundaries” (Wisdom Of The Last Farmer 210). With the development of corporate farming, however, this belief of savoring food has disappeared only to be replaced by fast-food detachment. Fast-food growing practices results in a generic line of produce, where aesthetics are pleasing, but taste could do with much work. Masumoto notes that “the loss of a diversity of fruit robs us of our sensory language, our elemental heritage and connection to the good earth” (Wisdom Of The Last Farmer 211). Yet, many of today’s generation grows without knowing the experience of the old variety of produce, leading Masumoto to state, “But without the memory of an experience, you have no sense of what you have lost - no sense experience at all, not...

Words: 618 - Pages: 3

Premium Essay

Farm Journey Ad Analysis

...Visual Analysis “Farm Journal” normally targets farmers because farmers are the ones that generally receive and read the magazine. This causes the ads in “Farm Journal” to be heavily agriculturally based. The company Ag Leader Technology that deals with the development of new technology that helps farmer’s jobs easier and more efficient created the ad that I choose to analysis. The name of the product that Ag Leader’s ad is for is called SeedCommand. The ad also explains what the SeedCommand does in text right below the tractor. The SeedCommand helps farmers manage the planting operations. SeedCommand helps to prevent overlapping seed, increase accuracy in seed spacing, automatic row shutoff, and advance seed monitoring. This ad from “Farm Journal” for SeedCommand forces the audience, mostly farmers, to view planting in whole new different light. With prices for high yielding seed not getting any cheaper, farmers cannot afford overlapping, inaccurate spacing, and misses when planting the expensive seed. The ad suggests that the SeedCommand could become the sidekick that helps the farmers saves the crop season and become the hero. It suggest this because the tractor and planter sit in what appears to be a dead and dried up field however with the sun setting in the background it seems to portray it as the thing that could come in and save the crop at the last minute. The tractor resembles a hot rod or high performance vehicle. This suggests that with SeedCommand the tractor...

Words: 454 - Pages: 2