Preserve the luxury or extend the brand
Download as PPTX, PDF
0 likes182 views
The Chateau de Vallois wine estate is debating whether to preserve its luxury brand or extend its reach. Gaspard, the majority owner, must decide between his traditional view and his granddaughter Claire's proposal to produce a third, more affordable wine. Francois argues they lack the grapes for expansion, while Claire believes a lower-priced wine could attract young consumers and grow the brand. The estate manager Jean Paul's expertise could help determine if brand extension is feasible without compromising quality or relations with their negociant partners. Gaspard's final decision will set the family business's strategy for the future.
Preserve the luxury or extend the brand
- 1. PRESERVE THE LUXURY OR EXTEND THE BRAND ?
- 2. Chateau de Vallois Wine producing estate Family owned Record of quality and reputation
- 3. Gaspard de Sauveterre Owner Possesses 50% of estate Traditional perspective Decision maker Worried about future generations
- 4. Claire de Valhubert Granddaughter of Gaspard Possesses 25% of estate Modern perpective Proposed a change
- 5. Francois de Sauveterre Son of Gaspard Possesses 25% of estate Traditional perspective
- 6. Jean Paul Estate manager Agriculture engineer Worked for 30 years in estate
- 7. Negociants Merchants and dealers Traditional perspective Buy wine from de Vallois Sell and ship wine Reputation determine the price
- 8. ABOUT COMPANY Selling 2 wines Cost : one wine @1000 euro : second wine @ 100-450 euro best selling wine
- 9. What to
- 11. Claire proposed Produce third wine and sell it directly. Keep the price low around 20-25 euro. Attract more young consumers. Extend the brand.
- 12. Francois perspective Not enough grapes More investment New distribution and marketing channel Losing negociants. Who will produce ?
- 13. Solution More grapes Buy land and growBuy grapes overseasHere itself
- 15. Final decision depends on Gaspard
- 16. SOME EXAMPLES
- 18. IN 1991
- 19. IN 1995
- 20. IN 1999 ( INR 5)
- 21. IN 2001
- 23. TATA NANO FOR MIDDLE CLASS KEEPING ITS CORE PROPERTIES ATTRACTING AN ENTIRE NEW MARKET SEGMENT MORE DEMAND
- 25. HUL WILL INTRODUCE PACKED ROTI RESEARCH DONE HIGH DEMAND
- 27. RECOMMENDATION
- 28. 1. To attract young drinkers and other segments of people Gaspard should consider Claires suggestion
- 29. 2. Claire should proceed with her suggestion while francois should take care of already established estate.
- 30. 3. The distribution and marketing channel should be new for the third wine and they should adopt different strategy for it.
- 31. 4. They can give the third wine a new product name and create a new brand so there is no danger of bad mouthing or declination of the estate.
- 32. Lets relate this to some concepts in Kotler textbook
- 33. BRAND EQUITY
- 35. BRAND EXTENSION
- 37. Created by Jay s. Mehta, SPCE, during an internship by Prof. Sameer Mathur, IIM Lucknow. www.iiminternship.com
- 38. THANK YOU