Competition
There are several brands of whipped topping available in mainstream retail
outlets. In the grocery stores in the Antlers and Hugo area, all of the ready-to-eat varieties
are produced by large players, specifically Kraft and Sara Lee. There are also dry mixes
available, but these are not direct competition for Whipped Dream. According to sales
figures at grocery outlets in Antlers and Hugo, approximately 65% of the national brand
prepared whipped topping is sold in frozen tub form, while the remaining 35% is in
pressurized can form.
The strengths of these products are their market shares and distribution channels.
They are available in virtually any retail grocery outlet, and have gained strong market
acceptance. They are also distributed with other refrigerated and frozen dairy products.
Finally, they are priced at $1.29-1.89 per 8-ounce tub or 6-ounce pressurized can, an
advantage when compared to the suggested retail price of Whipped Dream.
The weakness of these products is in the lack of variety. None of these companies
produce or market a flavored topping. Several of the products are also classified as
‘whipped topping’, but are actually not dairy based.
Marketing Strategies
Distribution of Fancy’s Foods Whipped Dream product will begin in the local
southeastern Oklahoma area. The Beans have an established name and reputation in this
area, and product introduction should encounter little resistance. The managers of
Pruett’s IGA and Gardiner’s Grocery in Antlers, as well as Pruett’s in Hugo, have
indicated that they are willing to carry the products. Their letters of intent and
endorsement are included in the Appendix section. It is also important to note that
Gardiner’s Grocery puts an emphasis on specialty food products in addition to standard
grocery items.
After Whipped Dream’s debut in Antlers, Hugo, and surrounding towns, Fancy’s
Foods intends to participate in the “Made in Oklahoma” Demonstration Program
administered by the Oklahoma Department of Agriculture and Pratt’s Foods in Oklahoma
City. This program will enable the Beans to introduce Whipped Dream into the
Oklahoma City metropolitan area under more favorable market conditions. Fancy’s
Foods also intends to enter the grocery and specialty markets in the Tulsa area in 2000.
The Beans will rely heavily on in-store displays and demonstrations in southeastern
Oklahoma stores, as well as those in Tulsa and Oklahoma City. They will demonstrate
the flavored topping in conjunction with fresh fruit during warmer months, and as a
topping on gourmet coffee and hot chocolate in the cooler months.
Special attention has been given to developing an attractive label that will stress
the gourmet/specialty nature of the products. A copy of the label is attached in the