This document discusses the Nutrasweet Company's development of Simplesse, a fat substitute made from egg whites and milk protein. [1] Simplesse was created to address growing health concerns around obesity, heart disease, and cancer from increasing salt and cholesterol in diets. [2] While Simplesse faced challenges like strong competitors and inability to be used in cooked foods, Nutrasweet saw it as a way to develop new products beyond just aspartame and address impending patent expiration issues. [3] Nutrasweet worked to establish appropriate marketing and distribution channels for Simplesse including launching its own Simple Pleasures ice cream line distributed by Dreyer's Grand Ice Cream.
This document discusses the Nutrasweet Company's development of Simplesse, a fat substitute made from egg whites and milk protein. [1] Simplesse was created to address growing health concerns around obesity, heart disease, and cancer from increasing salt and cholesterol in diets. [2] While Simplesse faced challenges like strong competitors and inability to be used in cooked foods, Nutrasweet saw it as a way to develop new products beyond just aspartame and address impending patent expiration issues. [3] Nutrasweet worked to establish appropriate marketing and distribution channels for Simplesse including launching its own Simple Pleasures ice cream line distributed by Dreyer's Grand Ice Cream.
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This document discusses the Nutrasweet Company's development of Simplesse, a fat substitute made from egg whites and milk protein. [1] Simplesse was created to address growing health concerns around obesity, heart disease, and cancer from increasing salt and cholesterol in diets. [2] While Simplesse faced challenges like strong competitors and inability to be used in cooked foods, Nutrasweet saw it as a way to develop new products beyond just aspartame and address impending patent expiration issues. [3] Nutrasweet worked to establish appropriate marketing and distribution channels for Simplesse including launching its own Simple Pleasures ice cream line distributed by Dreyer's Grand Ice Cream.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as PPTX, PDF, TXT or read online from Scribd
INTRODUCTION Robert B Shapiro chairman & Executive officer.
Simplesse a fat substitute.
Increasing levels of salt & cholesterol in US.
Threat of obesity, heart disease & cancer.
Growth in low calories, low sugar products market.
CCC research 65 % dieted in 1986.
Nutrasweet as discovered by James Schlatter.
NUTRASWEET COMPANY
Aspartame was used in 1700 NutraSweet products
Had gained wide acceptance of health and medical organization.
Best strategy was to sell sweetener as an ingredient.
It was negatively labeled as “one product” company.
Patent protection was going to expire in 1992.
Opening door for competitors impacting prices.
Need for new line development .
This need resulted in development of product called simplesse.
First FDA approval was not taken.
SIMPLESSE – THE PRODUCT
Discovered by Norman Singer.
Made from egg white and/or milk protein.
Microparticulation
Cholesterol free, digested like natural protein 7 substitute fat.
Cannot be used in cooked products.
Had big competitors in the market.(CPC int., P&G, Unilever)
Monsanto co. a diversified chemical org. acquired NutraSweet(1985).
SIMPLESSE - MARKETING
Need different channel for marketing simplesse.
Some merit on drawing distinction between low-calorie & fat free.
Entry into manufacturer.
Company decide to manufacture and market first range Simple pleasures.
An ice-cream substitute could not be called as ice cream.
Distributed nationally by Dreyer’s Grand Ice cream.
Sales grew by 66% in 1989 in comparison to 1986.
NUTRASWEET- BRAND ANALYSIS Advantages
Well established brand.
Growing awareness. Increasing number of diseases. Acceptable taste Approved by FDA Stressing fact taste and richness of ice cream but low calorie.
Disadvantages
Expiring patent protection
FDA approval delay in case of simplesse. Cannot be used in cooked food. P&G product Olestra which can be used in cooked food. Tied up with law. LOGISTIC DECISIONS Advantages
Formation of company Simplesse .
Distribution nationally by Dreyers’s Grand.
Disadvantages
Cannot carry simplesse with Nutrasweet old distribution channel.