Thursday, October 4, 2012

Carrots, carrots, carrots!

A local grower, named Mike Yurosek, who worked for Bolthouse carrot company, was growing frustrated with the fact that if carrots were not a particular size, shape, and color, they would be wasted. He got the idea to peel and cut them into one inch balls then peel and cut into 2 inches. The second ones are commonly known as baby carrots and were  a huge hit. They seemed to get people to eat more carrots. After a few years sales went flat, nobody knew why, and it was a huge problem. Jeff Dunn became CEO of this company 3 years ago and immediately wanted things to change. He started surveys and focus groups and found out when recession hit people were more likely to buy regular carrots to save money. He also realized that baby carrots have never been marketed.

He talked to 20 different agencies about different marketing strategies. After hearing all the different ideas, he imagined attractive individually wrapped bags of carrots that resembled potato chip bags, but the bags would cost 25% more. Crispin Porter, specializes in campaigns, started a campaign called "Eat Em' Like Junk Food" It was aired on three television shows and well as web series. Bolthouse company installed vending machines with carrots in high schools. These machines were selling 80-90 snacks per week, and Bolthouse test markets were up 10-12%. Schools have approached Bolthouse asking for the vending machines and in April they will experience their first movie tie in, with snacks promoting the movie, Hop. Also, in a lab and kitchen staff has been experiencing with different flavors. No flavors have been released but it will be healthy and all natural.

Branding and packaging has contributed the carrot success. After Bolthouse had realized they hadn't done anything to promote baby carrots and make them stand out, it created a lot of excitement for the company. They are hoping by changing their way of branding it will appeal to consumers more.

The newfound niche may create a whole new world for carrots. If their new packaging creates success and the flavoring idea works it will create competition for other brands to step it up and meet the new standards. Other companies will fall behind if they don't meet the new needs.


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