Question

Chobani’s history has included its successful offering of a variety of single-serving packages of fruit flavored Greek yogurt. The Chief Marketing and Brand Officer of this company stated, “We want to inspire customers to eat yogurt throughout the day, and increase per-capita consumption.” Looking at social-cultural trends, Chobani desires to be innovative and wish to begin to develop and offer a wider product mix.

What are your thoughts about new product development at Chobani? How will it convince customers that their new products belong in their refrigerators? What factors are important in understanding Chobani’s position in the marketplace and efforts to expand its product mix and lines?

QUESTION:

What factors are important in understanding this decision situation?

Answer 1

Marketing is always driven by the demand and preferences expressed by the consumers. In this decision situation also, there are different factors associated with the consumers and business segment that led the company to arrive at this decision situation. The first factors is the trends and preferences shown by the consumers. It is the focus upon fitness to remain healthy, among the consumers and Greek yoghurt and allied products in the mix, provide the good option to the consumers. So, it makes the company to come up with the new product. The second factor is the nutritional value provided by the products of Chobani that is in huge demand amid a hectic work culture of the people. It provides one quality alternative to the consumers that can take care of their health requirements and become the part of home menu with a great taste. The third factor is lack of competing products who are natural and without any chemicals. It created a business acumen to come up with the new products and cater to the audience. So, to capitalize upon the opportunity created by the market, led to this decision. The fourth factor is positive brand positioning, superior value proposition of the existing products and lower price, made the company Chobani to leverage the situation and come-up with the new products and capitalize upon the opportunities.