Case 4: Kingsford Charcoal

In: Business and Management

Submitted By ljolion2
Words 818
Pages 4
CASE 4: KINGSFORD CHARCOAL
1. Analyze the consumer behaviour and changes in behaviour, as it pertains to grilling.
In America, making barbecue is a culinary art. Cooking Barbecue produces more than simply grilling a steak or a burger; it is associated with a fun and festive spirit. As it is written in the case, “It’s about playing with fire under an open sky, wielding a mean spatula in one hand, a cool drink in the others.” More than that, barbecue gives a great flavor to the food, and it implied being outdoors while hanging out with friends and family. Also, because the concepts itself makes the dinner very informal it procure a change of pace. Although the numbers of Barbecue events has been increasing, it is still a seasonal event as it requires the weather to be good.
People have usually two options concerning their grilling methods, charcoal and gas grilling. Consumers looking for convenience, greater control over cooking temperature, short cooking time and ease of clean up, will choose to use gas grilling. The one’s interested for the hands on experience and the flavor imparted to the food will go with charcoal.
According to Exhibit 6, we can see that the main change in the consumer behavior was the trends concerning the grilling methods. In fact, in 2000 gas grill shipments grew 8 percent relative to 1999, while charcoal grill shipments dropped 3 percent year over year. To conclude, the charcoal grill penetration had tended down since 1997 with only 49 percent of household owning a charcoal grill, while gas grill had trended up.

How did Clorox get itself into this situation? (what did they neglect to do)
As I mentioned it above, the method of grilling trended up to gas grilling, putting the all charcoal category in a weaker position. Porters 5 forces state that one of the forces is the threat by substitute product. Gas grilling is a direct…...

Similar Documents

Kingsford Charcoal Marketing Analysis

...Kingsford Charcoal Unit 4 12/1/2010 1. Given your analysis of the Kingsford case, what are (or reasonably could be) the key drivers impacting the observed trend towards declining growth rates in recent years? How would you prioritize these issues? Make sure that you include your rationale in your answer? There are many reasons that are leading to a decline in growth rate of the entire charcoal category in the years leading up to 2000 and 2001. The biggest reason and the toughest for Kingsford to combat is the gas grill. The perception of gas grilling as easier, faster, and almost the same taste as charcoal grilling has hampered the charcoal category. With the emphasis on “green” living and environmental consciousness, charcoal and charcoal production and its negative effect on the environment, is another reason people are turning to gas grilling. Gas grill shipments grew 8 percent in 2000, while charcoal grill shipments dropped 3 percent over the same time period. Gas grill shipments have increased each year from 1997 through 2000. Charcoal grills only increased one of those years. It is very unlikely Kingsford can reverse this trend. They must strive to slow gas grill usage and remind the grilling public about the advantages of charcoal grilling; better taste, it is a true grilling experience, and the fact that certain charcoal products like Matchlight, are almost as quick as gas grilling. Kingsford has a unique advantage in the entire grilling...

Words: 1710 - Pages: 7

Case 4: Kingsford Charcoal

...CASE 4: KINGSFORD CHARCOAL 1. Analyze the consumer behaviour and changes in behaviour, as it pertains to grilling. In America, making barbecue is a culinary art. Cooking Barbecue produces more than simply grilling a steak or a burger; it is associated with a fun and festive spirit. As it is written in the case, “It’s about playing with fire under an open sky, wielding a mean spatula in one hand, a cool drink in the others.” More than that, barbecue gives a great flavor to the food, and it implied being outdoors while hanging out with friends and family. Also, because the concepts itself makes the dinner very informal it procure a change of pace. Although the numbers of Barbecue events has been increasing, it is still a seasonal event as it requires the weather to be good. People have usually two options concerning their grilling methods, charcoal and gas grilling. Consumers looking for convenience, greater control over cooking temperature, short cooking time and ease of clean up, will choose to use gas grilling. The one’s interested for the hands on experience and the flavor imparted to the food will go with charcoal. According to Exhibit 6, we can see that the main change in the consumer behavior was the trends concerning the grilling methods. In fact, in 2000 gas grill shipments grew 8 percent relative to 1999, while charcoal grill shipments dropped 3 percent year over year. To conclude, the charcoal grill penetration had tended down since 1997 with only 49...

Words: 818 - Pages: 4

Charcoal

... I. Background of the Study II. Statement of the problem III. Significance of the Study IV. Scope and Limitations Chapter 2: Related Literature Chapter 3: Methodology I. Materials Used II. Procedures Chapter 4: Results and Description Chapter 5: Conclusion and Recommendation I. Conclusion II. Recommendation Bibliography Appendices Chapter 1: Introduction I. Background of the study Charcoal is dark grey residue consisting of carbon, and any remaining ash, obtained by removing water and other volatile constituents from animal and vegetation substances. Charcoal is usually produced by slow pyrolysis, the heating of wood or other substances in the absence of oxygen (see pyrolysis, char and biochar). It is usually an impure form of carbon as it contains ash. Prior to the industrial revolution charcoal was occasionally used as a cooking fuel. Modern "charcoal briquettes", widely used for outdoor grilling and barbecues in backyards and on camping trips, imitate this use, but are not pure charcoal.[10] They are usually compacted mixtures of sawdust with additives like coal or coke and various binders. II. Statement of the Problem Here in the Philippines, poor families use charcoals for cooking. They can’t afford to buy electric stove or a LPG to use in cooking. In this regard, we aim to have an alternative to that with this question: * Is charcoal leaves can be an effective alternative for cooking...

Words: 828 - Pages: 4

Kingsford Case

...Kingsford Charcoal case Kingsford Background and Problem Overview Kingsford, an all-American brand, is the prominent manufacturer of charcoal in the United States. The overall charcoal industry has enjoyed a consistent growth for almost 20 years. However, since the summer of 2000, the overall growth in the charcoal category has suffered from a clear decline; the charcoal category growth has declined from 4 % from 1998 to 1999 to 2 % from 1999 to 2000. Several factors have contributed to that, they are summarized below: * Gas grilling, which represents a new competitor to the overall charcoal category, came into play with a massive media expenditure communicating the value of cleanness, convenience, short cooking time, and high control over cooking temperature. * Kingsford failed to fully exploit the opportunity to distinguish itself from gas grilling. It has significantly cut down the advertising budget since 1988 while relying heavily on sales efforts. * Unlike Kingsford, which kept its price almost constant over the years, other competitors in the charcoal industry such as Royal Oak and private label brands have increased their prices and cut back on promotion funding at retailers which results in a decline in the overall category growth due to the shift of new customers getting into grilling who negatively responded to the charcoal price increase. * Unlike previously mentioned factors that can be controlled, weather patterns during the year 2000 showed a...

Words: 1522 - Pages: 7

Charcoal

... fire and produces better charcoal. A piece of sheet metal is needed to cover the top hole and prevent oxygen from entering the drum, allowing the material inside to carbonize. Burn away oil residue from the drum before making the first batch of charcoal !!! 3 2. Filling the Drum Tip the drum on its side, and stuff the air vents on the bottom with a material that ignites easily. This will make it easy to light the drum from the bottom. Put a large stick in the center of the drum. This will create an airway shaft to make the fire burn better. Corn Cobs Alternate thin (5cm) layers of corn husks with thicker (25cm) layers corn cobs until the drum is full. Bagasse Fill the drum with bagasse. 4 3. Lighting the Fire Before starting the burn, place the drum on top of three stones, so that air can flow through the holes in the bottom. Remove the stick in the center for ventilation. Light the material at the bottom of the barrel. The burning material will produce a lot of smoke… After 5-10 minutes, the smoke will be hot enough that you can ignite it to make the fire burn more cleanly. 5 4. Sealing the Drum After another 5-10 minutes, cover the drum with the metal lid. Carefully remove the stones from under the drum while supporting the drum with a stick. Seal the bottom edges and the top of the drum with sand or dirt to prevent oxygen from entering. Wait at least 2 hours before opening. 6 5. Crushing the Charcoal...

Words: 761 - Pages: 4

Kingsford Charcoal

... as a product, price changes will not greatly affect the customers. Plus, known for a quality product customers won’t reference the price to the value received from the product. * In order to calculate whether or not the market is elastic or inelastic I used the formula – (%change in quantity demanded) / (%change in price). * ALL CALCULATIONS ATTACHED* * Price elasticity calculations illustrate that price changes Kingsford could implement might be beneficial since Kingsford is inelastic at those prices. As charcoal is a mature product, they could focus more on stimulating primary demand for the product and allow consumers to continue to purchase Kingsford, which has a greater market share than its competitors. * Kingsford Charcoal is a cash cow since they have a relative market share (9.3) and low market grow (2%).Therefore, as one of the largest product groups within Clorox, they need to be careful with the tactics they implement because they don’t want to lose market share or profit. Distribution Strategy * In order to reach as many outlets and retail stores as possible there needs to be a great amount and continuing distribution as possible. The types of stores you want to focus most on are ones of larger size that offer wholesale deals. These stores would consist of Costco and Sam’s Club while mixed and other sizes are in food stores, mass merchandisers, and drug stores. (page 4) Promotional Strategy * Advertising: [$1,000,000] * Since...

Words: 1539 - Pages: 7

Kingsford Charcoal

...Kingsford  Charcoal     ande     Kunal  P kunalpande@hotmail.com   Prof-­‐  Bob  Carroll   MKM805ms   The  Charcoal  category  has  seen  a  loss  of  2%  from  4%   between  1998  -­‐2000,  this  can  affect  Clorox’s  business   growth  if  Kingsford  sales  and  revenue  takes  a  hit.     •  The unanticipated weather conditions in the United States added to the softening of Sales in charcoal category between 1998-2000. •  The Convenience of using a gas grill increased causing consumers shifting from charcoal grilling to Gas grilling •  Kingsford curtailed its advertising budget excessively from $6m in 1997 to $1m in 2000 •  Promotional activities were cut back which were one of the key drivers of Kingsford’s Sales. Kingsford  market  share  leveraged  from  the  increase  in  prices   from  royal  oak    and  private  label     Year   1999   2000   Kinsgford   54.2   57.7   Private  label   33.3   33.9   Private  label   13.7   7.1   Kingsford  is  a  brand  with  superior  quality  compared  to  royal  oak   and  private  label  and  is  proven  in  lab  tests...

Words: 807 - Pages: 4

Charcoal

...ALTERNATIVE CHARCOAL OUT OF USE PAPER BAGS Jayson Andrew F.Paguia Nomo Angelo E.Mendoza Carlo Ducao Arjohn Malabanan IV-Aguinaldo Abstract The Investigatory Project “Alternative Charcoal out of use paper bags” Help the consumers and save money Introduction (a).Background of the Study The paperbags is use to substitute of using plastic bags in market and store because of increasing garbage.Because of the paperbags is used only once. We decided to use paperbags as substitute the common charcoal that made in burning wood. This study aims to recyle the used paperbags that used in markets and store.The benefits of this investigatory project is to save money and let other people know the use of paperbag charcoal as substitute of wooden charcoal. (b). Statement of the Problem * The Effectiveness of paperbags charcoal and wood charcoal * To lessen the garbage * To save money This study aims to know the effectiveness of paperbags as a charcoal,We also want to save money and lessen the garbage in this country. (c). Objectives This study aims to recyle the paperbags that use in market and store as substitute in using plastics.As to help the environment we decided to recyle the paperbags and make it a charcoal in this investigatory project we can also save money and lessen the air pollution because of the trees that needs tot burn to make a charcoal. (d). Significance of the Study Consumers – They can use this study to know what......

Words: 305 - Pages: 2

Charcoal

... board in Scotland. In NHS Lanarkshire, the NHS board where I have been working, mechanisms have already been in place to review the care provided against the guideline recommendations. This includes the appointment of an executive director, a clinical lead and a managerial lead. C. A. Yeung, Bothwell 1. 2. Bonetti D L. Evidence not practised: The underutilisation of preventive fissure sealants. Br Dent J 2014; 216: 409–413. Scottish Intercollegiate Guidelines Network (SIGN). Dental interventions to prevent caries in children (SIGN publication no. 138). [March 2014]. Edinburgh: SIGN, 2014. National Dental Inspection Programme. Report of the 2013 detailed national dental inspection programme of primary 7 children and the basic inspection of primary 1 and primary 7 children. Online report available at https://isdscotland. scot.nhs.uk/Health-Topics/Dental-Care/ Publications/2013-10-29/2013-10-29-NDIPReport.pdf (accessed May 2014). Statement of Dental Remuneration. Amendment no. 124. 1 November 2013. Online information available at http://www.psd.scot.nhs.uk/professionals/dental/AmendmentNo124.pdf (accessed May 2014). Fig. 1 Toothbrush with charcoal bristles 3. 4. DOI: 10.1038/sj.bdj.2014.556 Mazzafera P. HPLC-ESI-MS/MS of imidazole alkaloids in Pilocarpus microphyllus. Molecules 2008; 13: 1518–1529. Moura E F, Pinto J E B P, Santos J B, Lameira O A. Genetic diversity in a jaborandi (Pilocarpus microphyllus Stapf.) germplasm bank assessed by RAPD markers. Rev Bras......

Words: 1182 - Pages: 5

Charcoal

... time. The researcher was able to study the factors that were presented in shoe polish such as effectiveness, color, shine, duration and the odor. A. MATERIALS The materials that the researchers prepared were: • 200 mL of ashes from burned coconut husk • 300 mL of water • ¼ bar soap • 10mL of kerosene • 30mL citric acid • 150mL of glycerin • Container B. PROCEDURE After gathering the materials, follow these steps. 1. Burn the dried coconut husk and collect the ashes. 2. Inspect the ashes and remove the big particles. 3. Measure 300mL of water. 4. Cut the ¼ bar soap into small pieces and dissolve it on water. 5. Add 200 mL of Ashes 6. Heat the mixture until it boils; stir evenly so that it would not clot. 7. After two minutes, add 30 mL of citric acid and 150 mL of glycerin. 8. Pour into a container. The mixture needs to settle for five hours before used. C. RESPONDENTS OF THE STUDY The researcher chose 12 persons (3 students and 9 adults) each using a pair of black leather shoes to test the effectiveness of the product. Parameters such as the shine, duration, color and odor would be the basis of its effectiveness. The researcher used the rating scale for the said data; this consists of number one to five, being one as the lowest and five as the highest. Parameter | 5 | 4 | 3 | 2 | 1 | Weighted mean | Color | | | | | | | Odor | | | | | | | Effectivity | | | | | | | Shine...

Words: 2195 - Pages: 9

Charcoal

.... the egg cell matures b. the egg cell dies c. the egg does not mature d. the egg cell does not develop 10. Boys are not capable of bearing child because they ____________. a. do not menstruate b. do not eat nutritious food c. do not have reproductive organs d. do not want to get pregnant 12 Lesson 6: Identifying health habits to keep the reproductive organs healthy. Taking precautionary / safety measures to keep the reproductive organs healthy (Competency I.3.1. – 3.2) Exercise A Exercise B Directions: Put a check ( ) before the activity that keeps the reproductive organs healthy. Put X if it does not. Directions: Write Yes if it is a good habit and No if it is not a good habit. _____ 1. Changing underwear as often as needed _____ 1. Wash your external organs with mild soap and water everyday. _____ 2. week. _____ 2. Avoiding washing the external sex organs when sleepy Change your underwear once a _____ 3. Using soiled underwear _____ 3. Wear clean underwear and change it as often as needed. _____ 4. Ignoring any disorder in the reproductive organ _____ 4. Wash your underwear with soap and water, rinse and dry them well. _____ 5. Washing external sex organ with mild soap and water _____ 5. Borrow the underwear of your friend. _____ 6. Not seeing a doctor when an ailment is felt _____ 6. Keep your underwear in a clean box or cabinet after pressing them. _____ 7. Only asking advice from a friend in case you feel something wrong with your reproductive......

Words: 23678 - Pages: 95

Charcoal

...Mathematics (from Greek μάθημα máthēma, “knowledge, study, learning”) is the study of topics such as quantity (numbers),[2] structure,[3] space,[2] and change.[4][5][6] There is a range of views among mathematicians and philosophers as to the exact scope and definition of mathematics.[7][8]  If a sequence of values follows a pattern of adding a fixed amount from one term to the next, it is referred to as an  arithmetic sequence.   The number added to each term is constant (always the same). The fixed amount is called the common difference, d,referring to the fact that the difference between two successive terms yields the constant value that was added.   To find the common difference, subtract the first term from the second term. 1.  Find the common difference for this arithmetic sequence                           5, 9, 13, 17 ... | 1.  The common difference, d, can be found by subtracting the first term from the second term, which in this problem yields 4.  Checking shows that 4 is the difference between all of the entries. | 2.  Find the common difference for the arithmetic sequence whose formula is                           an = 6n + 3 | 2. The formula indicates that 6 is the value being added (with increasing multiples) as the terms increase.  A listing of the terms will also show what is happening in the sequence (start with n = 1).                            9, 15, 21, 27, 33, ... The list shows the common difference to be 6. | 3.  Find the 10th term of the...

Words: 1465 - Pages: 6

Charcoal

... Presented By: Wynonah Segnaken Presented To: Teacher Albert Nacar Date: January 28, 2013 ABSTRACT The experiment presented by the student is all about the magic fruit called Mangosteen. Mangosteen is scientifically named as Garcinia mangostana.  The ripe mangosteen is dark red and tastes best if harvested before turning purple or blue-black. It does not ripen post-harvest. Unlike many other tropical fruit, which have a somewhat musky flavour, the mangosteen appeals to almost all, without a learning period. About a third of the fruit is edible and this part consists of 4 to 8 white to pinkish juicy segments. The precise number is indicated by the remnant flower parts on the front of the shell. The fruit is known to grow seasonal in the Philippines and the nearby countries. It costs a bit pricey because of the recent study that Mangosteen could be considered as a wonder fruit because of the health benefits it can give to people regarding their health. W ith this experiment, Mangosteen will be shown as a jam to make it more available in homes with a longer storage time in homes and to make it more appealing to children who wants to eat anything with filling and usually sweet. TABLE OF CONTENTS Chapter 1 …………………………………………………………………. Page 1 a. Background of the Study…………………………………. Page 1 b. Specific Problems……………………………………………. Page 1 c. Hypothesis……………………………………………………… Page 2 d. Significance of the Study………………………………….. Page 2 Chapter 2...

Words: 1412 - Pages: 6

Charcoal

...Production of Charcoal using Different Kinds of Dried Leaves Submitted By: Andrew Matthew Ortoño April Mae Quilago Mary Karen Luceñara Submitted in partial fulfillment of the requirements in Research III Bacolod City National High School October 20,2015 Ms. Maria Vonessa Miraflores Research Adviser Background of the Study: For now on our life are become easier because of the technology. Technology is very important for us and even in cooking it become easier to cook. We used the LPG or a stove and other things we need in cooking. Because of this highly - invented materials, it makes our life easier. And other ways to cook is using a charcoal that is made of different kinds of trees and it is our big problem. The big problem is we should cut down trees in order to make charcoals but it may result some risk not only on ourselves but our surroundings also. Because of this problem we need to help to prevent from risk. According to our investigatory project, we study how to reduce cutting down trees to make a charcoal and studied to make a charcoal using different kinds of dried leaves like Mango leaves, Papaya leaves and etc.. It is just a dried leaves but it has its own purpose to make a charcoal to lessen of cutting down the trees. And because of this project we can help to prevent a big problem in our country. Significance of the Study: People need food in order to survive. They usually use LPG, which may have risks and may be too much expensive...

Words: 846 - Pages: 4

Kingsford Charcoal

...Discussion questions for case Kingsford Charcoal 1. Describe the main challenges faced by brand managers Marcilie Smith Boyle and Allison Warren. Of what relevant trends should they be aware? Main challenges specifically relevant to brand managers at Kingsford Charcoal: * A slow down in the growth in the charcoal category from 4% growth to just 2%, which is only predicted to decline further. *Possibly a symptom of weather conditions or changing consumer trends which lend themselves toward gas grilling* * A rise in the use of gas grilling (shown through number of shipments), as opposed to charcoal grilling also may have been a symptom of the underlying problem, that of the competitor’s price increases * The decision of some of KC’s channel partners to raise prices in line with other brands (especially considering the minimal price increases in the past) * The sales of charcoal are somewhat dependant on weather, an uncontrollable variant * Brand managers may have to recoup losses incurred in NOT significantly advertising over the last two years since 1998. * An important challenge is to engage retailers and distributors with the brand, and ensure they are willing to offer promotions, stock an adequate supply, and utilise product placement to its best ability. * Brand managers need to ensure profitability is healthy, as well as reinvigorating the existing brand equity Trends and associations that the brand managers should be aware of...

Words: 2110 - Pages: 9