Market Demand And Potential For Gerber Baby Foods

2 Pages 595 Words

The number of newborns in the state of North Carolina has increased 8.6% over the last ten years and not surprisingly, the increase of “hungry mouths” has demanded an increase in the number of baby food products. One of the major companies in this industry is Gerber Foods, a subsidiary of Novartis Because Gerber products target prenatal to toddler age children, brand loyalty can be created at an early stage of a child’s life. It is important, however, for Gerber to market their full range of products early enough to create such a loyalty.
According to a study conducted by the Agri-Food Trade Services, sales of Organic based foods have increased yearly over 20%. In 2003, the total organic food sales were estimated to be worth nearly $9 billion, and on April 21, 2001, the Appropriate Technology Transfer for Rural Areas (ATTRA) enacted a law entitled the National Organic Program that now requires that all producers, processors, and handlers be certified to handle organic products. Because of the increased awareness in parents on the advantages of Organic foods, I believe that Gerber’s new line of Tender Harvests (a product made with Organic fruits, vegetables, and grains) will have the biggest impact on Gerber’s sales in the future.
Women comprise the largest share of natural and organic food shoppers. Because they tend to be more aware of the nutritional value of the foods and beverages that they eat, the majority of purchases of baby foods tend to fall under the same organic foods category. Surprisingly, many parents have shown a willingness to purchase premium-priced baby food while maintaining low levels of interest in purchasing organic products for themselves.
There are many ways to promote the Organic based products in the state of New Jersey. The most promising way, and the best way to develop brand loyalty, is to promote the brands in areas where pregnant women will have the greatest chance to view the marketing ma...