Abstract
The case describes how the Alce Nero company navigated the inherent challenges of innovating in the organic food industry, a dynamic segment experiencing growth and favorable margins, particularly in the Italian market. The analysis focuses on Alce Nero's journey towards launching products in the baby food organic segment, introducing the challenges associated with this venture, from the strong competition in the baby food market, to the nature of what organic food could be perceived in the baby food industry. The case aims to prompt a discussion on potential growth paths for the company, recognizing that entering a market for a different customer, in this case, babies, poses difficulties, despite potential synergies and consistencies with the brand's positive reputation and positioning of the Alce Nero brand in the organic food sector. It is, to some extent, a classic case of brand extension and the introduction of new products. The class discussion will revolve around the dilemma of whether the organic baby food segment constitutes a genuinely new market for Alce Nero and the trade-off between brand consistency and challenges arising from a new market segment. Specifically, the Alce Nero case helps illustrate the importance of consistency across different elements of the marketing strategy and operations.
Teaching and learning
This item is suitable for postgraduate and executive education courses.Time period
The events covered by this case took place in 2011.Geographical setting
Region:
Europe
Country:
Italy
Location:
Bologna
Featured company
Alce Nero
Employees:
51-200
Turnover:
EUR 70.000.000
Type:
Public company
Industry:
Organic food products
Featured protagonist
- Sara (female), External consultant
About
Abstract
The case describes how the Alce Nero company navigated the inherent challenges of innovating in the organic food industry, a dynamic segment experiencing growth and favorable margins, particularly in the Italian market. The analysis focuses on Alce Nero's journey towards launching products in the baby food organic segment, introducing the challenges associated with this venture, from the strong competition in the baby food market, to the nature of what organic food could be perceived in the baby food industry. The case aims to prompt a discussion on potential growth paths for the company, recognizing that entering a market for a different customer, in this case, babies, poses difficulties, despite potential synergies and consistencies with the brand's positive reputation and positioning of the Alce Nero brand in the organic food sector. It is, to some extent, a classic case of brand extension and the introduction of new products. The class discussion will revolve around the dilemma of whether the organic baby food segment constitutes a genuinely new market for Alce Nero and the trade-off between brand consistency and challenges arising from a new market segment. Specifically, the Alce Nero case helps illustrate the importance of consistency across different elements of the marketing strategy and operations.
Teaching and learning
This item is suitable for postgraduate and executive education courses.Settings
Time period
The events covered by this case took place in 2011.Geographical setting
Region:
Europe
Country:
Italy
Location:
Bologna
Featured company
Alce Nero
Employees:
51-200
Turnover:
EUR 70.000.000
Type:
Public company
Industry:
Organic food products
Featured protagonist
- Sara (female), External consultant