Name: Syed Haider Raza

Course: Brand Management

ERP: 18835

Answer 1:
Planters nuts had a rough 2012 for many different reasons. Reasons for the company's difficulties may
be traced back to ineffective marketing methods and sloppy financial management on the part of the
company's upper management. The firm's downturn began in 2011 as Kraft Foods shifted its focus away
from Planters nuts, and new management at the nut division instituted sweeping changes to the
business. A fresh team at Planters introduced pistachios and almonds to the market. Farmers
abandoned traditional nut kinds in favor of hybrids, leading to a drop in demand. Sales of the most
popular nuts, including mixed nuts, cashews, and peanuts, have decreased. An additional factor was the
tug of war between Planters nuts, Wonderful Brands, and Blue Diamonds. Furthermore, the incorrect
advertising approaches led to reduced earnings. The campaign's targeting of the new nuts was off by a
long shot, since periodicals mostly addressed health issues facing men and women were overlooked
altogether. Revenue was lost because the corporation failed to properly target specific demographic
subsets based on gender.

Answer 2:
Planter's has increased its advertising budget in recent years since its brand recognition is higher than
that of rivals like Blue Diamond and Wonderful, both with and without promotional efforts. An
overwhelming majority (96%) of American consumers are familiar with Planters. Planters' problem was
in the quality of the communication surrounding their products. It turns out that customers remember
and prefer the healthy brand/product messages that Blue diamond and Wonderful spent a lot of money
researching and advertising. Despite only costing the company $4 million in advertising, giving Mr.
Peanut a voice helped increase Planters' brand value, market awareness, and emotional connection with
the brand, all of which would have resulted in even higher public relations costs had they not been
addressed. Kraft found out the hard way that Planters was seen as outmoded and pricey after
conducting quarterly surveys and focus groups. IPSOS performed a study that sheds light on the
company's most valuable assets in terms of employee dedication to the company's stated objective of
producing value for its target audience of consumers. Planters' primary assets were put to work
providing value to the group they set out to attract. Planters remained appealing because of their
established reputation in the nut trade. Their product enjoyed high name recognition and a solid
reputation in the marketplace.

Likewise, let's talk about the problems plaguing the Planters name. There are three problems plaguing
the Planters brand:
  "Leaky Bucket": Planters entered the market for almonds and pistachios despite having less
experience in the sector than established players (Blue Diamond and Wonderful). This causes a
rise in Peanuts' COGS, and the expansion into new markets isn't enough to make up for the
slowing of growth in the company's traditional revenue stream.
 Its new items are mostly irrelevant to its current positioning and target market.
 The company's margins shrank as a result of increased marketing expenditures and staffing costs
associated with expanding into new areas.

Answer 3:
While Planters did have some difficulties in 2012, the company was still able to put its major assets to
use in providing value for its consumers. Planters is a well-known brand, and its goods are widely held in
favourable esteem. Planter has a lower reputation among customers about the health advantages of its
nuts due to its failure to convert brand awareness into brand loyalty and to adapt to the growing
demand for healthy nuts among consumers. As a result, Planters may change its positioning/targeting in
the future. There may be an opportunity for nut growers to cash in on the growing number of women
who eat nuts for their purported health benefits. According to the most recent statistics, 55% of women
eat snacks regularly, with 52% of those snackers being nut eaters. Peanuts were eaten by over 44%, and
cashews by over 48%. As a result, this group of people has been overlooked in the past since Planters
didn't consider them a priority, but they now represent a potentially fruitful demographic for expanding
customer base and fostering growth in the market. In order to attract a more diverse pool of candidates,
plant nut advocates should consider advertising the role to women. The group 65 and over looks to be
the largest consumer of nuts, at 28.7 percent.

Answer 4:

Food manufacturers Kraft Foods, of which Planters nuts are a part, are also responsible for such
household names as Oreo cookies, Maxwell House coffee, Ritz crackers, and Kraft cheese. Kraft Groups,
a grocery store chain in North America, has received planters (Kraft Heinz, 2016). According to market
research that Kraft Foods commissioned on Planters nuts, the company earns roughly $1 billion each
year and is the best-selling nut brand in the United States. Nonetheless, sales of Planters have dropped
by 23% over the previous six years, while purchases by households have dropped from 46% to 38% of
total sales.

The Kraft Foods group suggested that they "rethink everything" regarding the Planters label. To reach
the maximum potential necessary adjustments, Kraft Foods has done a research with the support of
senior brand manager of Planters Nuts. There were three main foci for their investigation:

 It was determined that the age group from 35 to 65 constitutes Planters' "own" market, and
that the company's efforts are concentrated there. As a result, sales have been falling. The
 company's efforts should be spread throughout many markets. It can take on many targets at
once and adjust its placement to best suit each.

 Traditional markets are being neglected as the company diversifies its offerings to win over
customers with peanuts, cashews, and mixed nuts. Although it is desirable for a company to put
its attention on potential new areas of growth, the risk exists that it may lose sight of its roots in
the process. There are other varieties of nuts that are popular with buyers, and their sales are
on the rise. These include almonds and pistachios. Therefore, the firm should concentrate on
"new nuts" that combine natural ingredients with cutting-edge processing techniques.

 Research shows that the competition is expanding their sales by zeroing in on almonds and
pistachios. Customers consider nuts as the healthier snacks so competitors are spending more
money on almonds and pistachio in creative ways. Planters Nuts needs a new approach if it is
going to compete successfully with similar businesses.

According to the findings, many consumers have complained that Planters has lost sight of its mission to
supply the greatest product in the traditional sense. The strategic placement of the business is also
crucial to its success. The HSBC brand is widely recognized and respected. The nut firm Planters has
utilized a memorable mascot named Mr. Peanut to promote its goods. Because of this logo, the
company has been able to maintain its position as market leader. The company sells guaranteed, top-
notch goods. The company's products are the perfect synthesis of cutting-edge simplicity and enduring
quality. Without a doubt, Planters promotes itself as the superior, all-natural solution to its target
audience.

Answer 5:
Planters should position themselves such that their pricing approach supports their marketing efforts
directed towards both men and women over the age of 35. In addition to reviving men's idea of nuts'
traditional attractiveness, the campaign commercial should easily link to women's perspectives on
eating healthy and social conduct. A recent study of the nut market found that pistachios and almonds
are more popular among women than their nut-loving male counterparts. And, in the eyes of the
general public, some nuts are far more nutritious than others. Planters now has to include women to not
only grow its customer base and pique the attention of female consumers in the Planters Nut brand, but
also to establish Planters Nuts as the healthiest nuts available when compared to more conventional
brands. Planters, for instance, may launch a marketing initiative that positions Planters Nuts as a
healthier alternative to traditional nuts. Incorporating nut imagery into commercials for widely watched
sports like Baseball and NFL would allow the company to reach a wide demographic, including women.
Planter's ultimate goal is to maximize the value of its name by persuading nut connoisseurs and whimsy-
driven buyers that Planter's provides the greatest quality at the best price.