TruEarth Healthy Foods Harvard Case Solution & Analysis

1)      How do you interpret the results of Exhibits 9 and 10 to evaluate the interest for pizza?

Out of the total size of 300 participants, 168 participants took part in the in-home test in order to know their interest in the pizza and out of 168 participants, 109 participants were in favor of purchasing the pizza product, meanwhile, the other 59 participants were not in favor of purchasing pizza. However, Exhibit 9 shows the key reasons for favoring the particular elements of pizza and it also enlists the suggestion proposed by the participants. Meanwhile, the analysis of the exhibit 9 reveals that the most important element that was ranked at 22% by the participants for which they favored pizza indicated that the sauce is the key element in the successful launch of the pizza product. In addition to this, another key element on the basis of which the participants had favored pizza was the fresh ingredients that were the part of pizza, which means that participants prefer to have fresh ingredients in the pizza products; therefore, TruEarth should focus more on adding fresh ingredients in its pizza so that its pizza is more liked by consumers.

truearth healthy foods case solution

truearth healthy foods case solution

However, the price of the pizza was a key element for not favoring the pizza product because pizza was ranked at 45% for being too much expensive, meanwhile, the participants who liked to buy the pizza because of it reasonable price ranked the reasonable price 9% as a key factor for buying pizza. In addition to this, as part of suggestions both the participants who favored to buy pizza and those who did not favor to buy suggested that the price of pizza was too much high and should be revised in order to be liked by the majority of participants.

On the other hand, exhibit 10 reveals that the price of pizza is higher than the other frozen and takeout pizza product prices because TruEarth is currently offering its pizza at $12.38/- per 12” serving whereas the mean price measured by the willingness of in-home participants to pay for the refrigerated pizza is $10.09/-, which means that the price of TruEarth’s refrigerated pizza was higher than the larger number of potential customers are willing to pay for this type of product. However, the analysis of the exhibit 9 and 10 reveals the key elements that should be improved or given importance in order to increase the demand and potential consumers of refrigerated pizza products. Additionally, participants of the research process suggested that whole grain pizza needed no improvements in it, which means that they were very much satisfied with the quality and ingredients of whole grain pizza.

2)      Does the company must launch the pizza?

Since, American population is attracted toward the use of healthy products and that was the crucial time to launch whole grain pizza because the whole grain pizza is categorized as a healthy product; therefore, it would be liked and appreciated by American consumers. Meanwhile, the price is not a very much influencing factor because the whole grain pizza is a healthy product and health conscious consumers will be more willing to buy a healthy pizza even at premium prices; therefore, TruEarth should spend on marketing of its whole grain pizza and the marketing campaign should be focused on creating awareness among consumers about the whole grain element of this pizza in order to further develop the market for whole grain pizza.

Since, competitors such as Rigazzi can also launch its whole grain pizza; therefore, TruEarth should launch its whole grain pizza before its competitor launches it in order to take the benefits of first mover advantage as it had previously enjoyed in the case of whole grain pasta product. In addition to this, the production of whole grain pizza could be completed using the existing equipments of TruEarth and huge investment in the equipment and machinery was not required in order to launch the whole grain pizza, which made the launch of this product more attractive.

Furthermore, TruEarth has its already established channel and network for the distribution and selling of whole grain pizza and its existing channel would help in delivering the fresh product to the market shelf. Therefore, TruEarth must launch its whole grain pizza in order take the benefits of first mover advantage and later on it can keep improving the key elements of whole grain pizza..............................

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