Sealed Air Corporation: Deciding the fate of

VTID
Group 10
Lakshya F033
Arpit F057
Angsuman F014
Ankit F018
Victor G013
Arpan G017
Ameet H027
Question 1
● What criteria should Sealed Air Corp consider
when choosing a suitable segment for VTID?
Apply these criteria and discuss in context of
the QSR space

1
 CRITERIA FOR SELECTING SUITABLE SEGMENT FOR VTID

SCALE GROWTH LEVEL OF NEED EASE OF ADOPTION CLIENT KNOWLEDGE

Ease of Adoption
Scale • Many QSR’s had adopted CCTV
• 11906 QSR from just 25 monitoring
chain(Exhibit 6) • VTID required a fixed location
• 531 MN USD business camera 📸 location in order to take
opportunity(calculated) images at a specific location

QSR
Client Knowledge Level Of Need
• Seales Air has had business • More than half of QSR’s believed
relationships with many of theses Food recall to be their major concern
QSR’s for the food packaging material (Exhibit 9)
as product and thus a better • Data suggesting the importance of all
understanding of the clientele the VTID segments from the
business clients(Exhibit 9)

•
Growth 2
QSR segment growing at
higher pace
• Source: Case & QSR
Question 2
● What is your assessment of the potential
revenue Sealed Air can generate if it succeeds
in the QSR space? (Assume that the company
primarily intends to make money from
recurring revenue streams and not fixed
components.)

3
Assumptions

01
Our consideration set We are considering a
for QSR segment are Our TG in CSR Assuming customers
space will be the top penetration rate of are willing to avail all
all restaurant chains 10% in the first year
with greater than 1 10 restaurants with option given their
maximum number of in these top 10 importance as found
million sales (69.6% of
total restaurants) violations violating chains in the survey
(Exhibit 6 & 9.2) (Exhibit 8) (Exhibit 9.5 & 9.6)

4
 Price Sensitivity Analysis (Mean and Median) for Potential Revenue Range

Willingness Willingness to Company

Licensed Total Penetration
to Pay (Mean Pay (Median QSRs Owned
  Provisions Units Units Rate (10%)
Value) Value)   Units
$/month $/month 1 Burger King 6333 917 7250 725
Employee Glove Use 2 ARBY'S 2427 1169 3596 359.6
1 (Mandatory usage requirement 49.46724 9.78 3 WENDY'S 4622 1255 5877 587.7
65.2% )* 4 HARDEE's 1430 475 1905 190.5
2 Employee Hair Restraint Use 66.96 0 5 Dairy Queen 4469 71 4540 454
3 Automatic Alarm for refrigeration 63.7 50 6 Jack In The Box 1022 1190 2212 221.2
4 Streaming remote video 68.26 50 7 Subway 23034 0 23034 2303.4
Employee Cash Handling 8 KFC 4307 855 5162 516.2
5 96.74 50
Procedure 9 MCDonald's 12402 1578 13980 1398
  Total Per Month 345.12724 159.78 10 Taco Bell 4308 1296 5604 560.4
  Annual Revenue per Store 4141.52688 1917.36   Total Stores       7316

Mean Value($) Median Value($)

Potential Annual Revenue 30299410.65 14027405.76

5
Question 3
● Alternatively, should Sealed Air go after any of
the previous applications it pursued in the past
—namely, tracking and tracing in meat
processing plants or worker safety?

6
 Extensive investments (over $1.5 mil) were made already to process and find uses of VTID in
meat processing plants and worker safety implications. It would be a waste to let all the research
efforts go to waste. Hence Sealed Air Corporation should definitely pursue one of these two fields
to find success for VTID. The follow-up question being which one.
Meat Processing Worker Safety
Application – Uniquely track every piece of meat to the Application - Checking if proper safety guidelines are
animal it came from. being followed in manufacturing factories by employees
Implication – Saving major costs as the complete Implication – Huge reduction in insurance cost incurred
produce won’t have to be recalled by manufacturing companies.
Reason for previous failure – Economic benefit was Reason for previous failure – Ineffective salesforce as
not evident for potential clients. Risk of legal implications they had no experience in selling technology based
as video footage could be used against them. services. Also, approached wrong people in the client
companies to try and make sales
Possible opportunities – No significant development Possible opportunities – Could try to sell VTID using a
from previous situation. Companies would most likely be different approach and a more technically equipped
reluctant to implement it for legal concerns. salesforce. Also, might be worthwhile to get appointments
with people who actually deal with such problems like
senior executives in human resources or safety officers
who would actually be involved in the selling process.

Hence, Sealed Air Corporation should possibly look at pursuing selling VTID in the Worker Safety market again

7
Question 4
● Are there other applications that make more
sense than the ones the company has already
considered? Or would you recommend that
Sealed Air cease efforts to commercialize
VTID?

8
 Restaurants Manufacturing industries Security services Government

Surveillance to increase
Supervision of procedures,
To ensure nutrient safety Banks, ATMs safety of public property and
packages, mail handling,
criterion are followed by Retail Stores people
warehouse and stock control
employees Educational Institutions Increasing security in border
system
crossings and prison

Healthcare Educational Institutes Retail Transportation

Monitoring in educational
Improve hand hygiene Reduce retail pilferage by
institutions, common areas
compliance among tracking the movement of Remote Monitoring
and playgrounds for unusual
healthcare professionals inventory pre-purchase
behavior

Sealed Air should not cease efforts to commercialize VTID and should provide customized VTID as per the
specific industry requirements.

9
Thank You