Vincore Essay

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Case Study - Vincor: Project Twist Problem Statement Kelly Kretz was going to launch a new product which managed by her and the Project Twist is a plan to launch a new alcoholic beverage product. Kretz has to make a decision on the new products characteristics, positioning, branding, and packaging and distribution strategy for the new beverage. She also has to decide on a promotion strategy that was consistent with positioning of the new product in the dynamic and fast-paced target market. Situation Analysis Objectives * To achieve sales 50,000 to 75,000 cases * Balance the need for spending on research and development(R&D) and make the new product successful with the risk of never recouping this investment if the product failed. * Develop the well-defined and required the cycle for new product introduction to meet aggressive launch timeline for the start of the season. Background * In 2004 Vincor was the world’s eighth largest producer and distributor of wine and wine related products with revenues exceeding US $400 million. * Vincor’s operations and distribution extended across Canada, the United States, and other countries. * In Canada, Vincor was the market leader with 21 per cent market share * Business activities included production and distribution of wine and wine-related products. * The refreshment category was an important part of Vincor’s business in Canada, and was driven primarily by its Vex and Growers Cider brands, each of which sold nearly one million cases in 2005. * The industry wa extremely dynamic and the companies were continuously adding new flavors and formats to existing product lines and many new brands and brand extension were launched each year to meet the today’s trendy. S.W.O.T Analysis Strengths * Well established company and it was the market leader with 21% market share

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