Camphell Company


This case talks about the dilemma of Campbell Soup Company who wants to change the packaging of their soups. They want to change both the brand name and the packaging of their soup which was earlier available in tin cans.

# As a convenience goods producer, what marketing consideration do Campbell executives have to keep in mind?
Convenience goods are those that the customer purchases frequently, immediately, and with minimum effort. Tobacco products, soaps, and newspapers are all considered convenience goods, as are common staples like ketchup or pasta. Convenience-goods purchasing is usually based on habitual behavior, where the consumer will routinely purchase a particular product. Some convenience goods, however, may be purchased impulsively, involving no habit, planning, or search effort. These goods, usually displayed near the cash register in a store in order to encourage quick choice and purchase.
Marketing Considerations for Campbell executives:
  1. Pricing per item should be relatively low as consumers often see little value in shopping around since additional effort yields minimal savings.
  2. They should attempt to distribute the soup in mass through as many retail outlets as possible.
  3. The number of potential customers in the market.
  4. How concentrated or dispersed they are?
  5. How much each will buy in a given period?
  6. Costs associated with the practical side of the distributive operation (e.g. transport, warehousing and stockholding)
  7. What kind of distribution they want?

# Do you think Campbell should market soup in a new container under a different brand name? What options does the firm have?
No, Campbell should not market soup in a new container under a different brand name because their brand name is already trusted by lot of people and they may not be familiarized with the new brand name soon enough. Secondly a change in can will be enough to attract the new generation because new generation...