Case Questions

1. What are the challenges that Ivan Gullien faces?

2. What are consumer insights? What types of business challenges can benefit from consumer
insights? How are consumer insights obtained?

3.Given the key learnings from usage and attitude study, what are the corresponding implications
for what actions the team should take?

4.Why did Guillen and his team conduct the in-home and discovery workshops?

5.Develop perceptual maps for potential targets(users, lapsed users, and potential users). What
are the implications from these maps?

6.What actions should Guillen and his team take?

WAC of Pillsbury cookie challenge

Management Problem:

The marketing manager of Pillsbury refrigerated baked goods (RBG) at General Mills Canada Corporation
has to develop and present such marketing strategy to the senior leadership that will boost the
performance of his category because:

His category has not been performing well for the last two years.
There has been a constant sale without any growth between 2004 and 2006.
Penetration ratio has been at low levels during the last five years.
Refrigerated cookie had always been the most profitable product line of his category with 62 %
of total RBG sales and 75 % of the total profit but the cookie performance has been constant at
only one percent growth rate during the last three years and the penetration ratio has also
declined during these three years.

Management problem conversion to research problem:

The marketing manager Guillen contemplates the possible reasons of decline in cookie sales. He thought
that consumer insights might have changed about taste, advertising, and current brand messaging of the
Pills bury.

Research problem:

Guillen wants to see the difference between consumer markets of Canada and that of United States so
that he can design his marketing strategy according to it to boost the sales as well as profit of his
category.
 Findings Interpretation Implications
None of previous marketing Marketing initiatives was not They should design marketing
initiatives achieved 5% to 7% effective because it had not initiative after having the results
been designed according to the of exploratory and confirmatory
consumer insights. research.
Pillsbury Refrigerated Cookies
Although the more profitable The product line was fulfilling Modify the marketing mix after
product line with 65 % of total the need of busy mothers but knowing the change in consumer
sales and 75% of total profit for now their insights might have insights.
the last few years, the growth changed.
has been constant at 1% and
penetration ratio has also
declined.

Usage and attitude study results

Scratch baking is dominant in Scratch baking is convenient for RBG marketing strategy should
Canada while refrigerated dough Canadian mothers while target Canadian mothers with
is dominant is US. refrigerated dough for US scratch baking.
mothers.
Convenience and taste are top in Cookies are convenient for RBG should maintain and
Canada and in US Canadian and US mothers and improve the convenience and
have pleasant taste taste of cookies.
Canadian kids like more than Canadian kids find fun in cookies RBG should target kids in their
that of US do. advertisement in Canada.
Canadian mothers are much Canadian mothers are more RBG should demonstrate the
concern about the quality quality conscious than that of US
good quality image.
Lapsed users agree that RBG Lapsed users accept the Lapsed users can be converted
cookies are convenient. convenience and easiness of into users by knowing the reason
cookies leaving RBS cookies and then
keep in mind during designing
the marketing strategy.
In-Home Immersion and discovery workshops
Practical ingenuity:
Mothers want that cookie which Mothers select cookies on the
While designing a marketing
is simple, rapid, realistic, basis of their simplicity,
strategy, keep in mind the
inexpensive and pleasurable to practicality, and likeness to their
desired criteria of mothers for
the children children. selecting a cookie
Mothers enjoy baking Baking is pleasurable for RBG should give demonstrations
mothers because they think that
to their target customers by
they are making their children
doing baking at superstore or
happy by baking in kitchen supermarket in which mothers
bake and enjoy the baking. It
should be reflected in their
advertisement as well.
Children participate in baking Baking as easy as children can RBG should demonstrate the
and eating the cookies help their mothers with simplicity of baking in its
enthusiasm marketing strategy.
Brand champions are devoted Lapsed users are less conscious RBGs marketing strategy should
mothers to their children while about product decisions because
target lapsed users to educate
lapsed users are less conscious. they do not have much them to make them devoted
awareness mothers and much conscious.
Pillsbury products are preferred Mothers believe that Pillsbury
Although Pillsbury requires some
on readymade food. represent the true generosity
effort as compare to readymade
and hospitality. food, but it does not show the
true color of generosity. This
should be reflected in marketing
strategy.
Cookie dough purchases were Mothers like to bake cookie The product distribution should
impulsive. dough. be well planned and displayed
clearly in stores so that mothers
as well as children approach
them easily.
There is no sign that Canadian They are much concern about They should increase the brand
others are price conscious. other attributes rather than image rather than decrease
price. price.

Possible marketing strategies

Strategy # 01

Product:

Develop such solution which is simple realistic, and rapid to the mothers and inexpensive and
lovely to the children.

Pricing:

They should not decrease price at all even in occasions because the target mothers are not price
conscious. The cookies should be competitive price rather than least price.

Promotion:

They can target those mothers who are busy with their families and conscious about the
practicality, easiness, and quality of the cookies but not the price.
They can also target those mothers who are much conscious about their hospitality.
The brand message can be mothers simple choice for their children
They can install billboards in the dense populated areas of mother between 30s-40s and near to
all supermarkets.
They can show mothers enjoying baking in their kitchen in their advertisement.

Distribution mix:
 The display of the cookies should be approachable and prominent in the supermarkets so that
they can easily get and purchase cookies because their purchases are impulsive most of the
time. Therefore, the cookies can be displayed at the receptions of supermarkets.
An image of mother baking in her kitchen can be printed on packaging of cookies.
They can install point of sale displays in supermarkets and in residential areas.
Mothers awareness campaign can be conducted door to door or in shopping centers or
supermarkets.

Action # 02

Product:

Develop such solution which is simple realistic, and rapid to the mothers and inexpensive and
lovely to the children.

Pricing:

They should not decrease price at all even in occasions because the target mothers are not price
conscious. The cookies should be competitive price rather than least price.

Promotion mix:

They can target those working mothers who want to give their children good cookies in short
time despite being busy in their professional life.
The brand message can be professionals choice for children.
They can install bill boards near to offices.
They can install point of displays outside the office buildings.
Mothers awareness campaign can be conducted in offices which should be started from their
own offices.

Distribution mix:

Supply cookies in all gas stations and tuck shops.

Action # 03

As children were the purchase drivers in Canada, therefore they can be target as well.

Product mix:

Develop such solution which is simple realistic, and rapid to the mothers and inexpensive and
lovely to the children.
Pricing:

They should not decrease price at all even in occasions because the target mothers are not price
conscious. The cookies should be competitive price rather than least price.

Promotion mix:

They can target those fun loving children who like to bake with their mothers in kitchen.
Therefore, they can persuade their mother to buy cookies.
The brand message can be Cookies for fun lover children.
They can install point of sale displays outside the school.
School children awareness campaign can be conducted.
Billboards near to schools can be installed.

Distribution mix:

Supply cookies in all the shops, superstores and mini stores in residential areas.
An image of a fun loving child can be printed on the packaging.

Evaluation of Research Methodology

GMCC conducts many types of consumer research according to the information needed:

1. Product trials with employees

2. Focus group
3. Concept tests
4. Evaluators
5. Creative testing
6. Packaging tests

The consumer insights manager for RBG contemplated many aspects and decided to apply usage and
attitude study (focus groups) on cookie consumers.

Usage and attitude studies are consumer studies that observe the strengths, weaknesses, use, traits,
and purchase pattern of a product. In these studies, consumers are asked many questions about the
brand image of a product which help to understand the consumer insights and develop a profile for
product user. After having this information and analyzing it, marketing strategy is developed to improve
the product performance.

The usage and attitude studies were conducted in order to find out the difference between the
Canadian markets and US markets so that it could be found out the reason of constant growth in Canada
despite targeted growth in US with the same marketing strategy.
The market research company MarketTools was hired by RBG team to conduct the usage and attitude
studies. MarketTools used screeners to differentiate users of cookies as

Users, who had been the purchasers of refrigerated cookie dough for last 12 months
Lapsed users, who had been purchasers of refrigerated cookie dough over 12 months ago
Non-users, who have never been purchasers of refrigerated cookie dough

Screener is a tool to identify users, lapsed users, and non-users by asking a set of scripted questions. The
research conducted by RBG is a focus group research in which populations sample is mothers of age 30s-
40s busy with their families. It is a simple random sampling also known as probability sample and
convenient sampling which is the best sampling method in which you can measure error and every item
from the frame has a known probability of occurrence.

Research Analysis

This case clearly illustrates the research problem because the RBG wants to see the difference
between the Canadian and US mothers likes, dislikes, buying pattern, and perception about the
cookie.
In this research the hypothesis is stated and tested clearly which is:
H0: The consumer demographics and families structure were not similar
H1: The consumer demographics and families structure were similar.
Although GMCC uses many types of research but it used usage and studies method because it
gives the consumer insights which is required by the management of the company to develop a
marketing strategy which will optimize their growth rate and penetration rate in Canadian
target consumers.
All conceptual definitions are steady with the theoretical frame work.
The research problem and/or the hypothesis naturally flow from the frame work i.e. they
wanted to see the difference between Canadian markets and US markets.
Research findings support the hypothesis and framework and are interpreted within the context
of the framework as Guillen wanted to know how he could increase the purchase frequency
and/or market penetration of cookies? What consumers should be targeted? What should be
the brand message? How could they communicate their brand message to motivate them and
increase their sales volume?