I am the marketing manager for the H. J. Heinz Company’s tomato ketchup, which is a spicy, thick tomato sauce. Tomato Ketchup is used for hamburgers, French fries, spaghetti, sandwiches, and grilled or fried meat. .
The Heinz company has a long history. The German-born Henry John Heinz founded the company in 1869 in Sharpsburg, Pennsylvania. The company’s first product was horseradish, followed by pickles and tomato ketchup. Through the course of time, the company often changed it names and heads. Today we sell 1,300 products worldwide, do business in 200 countries with 41,000 (2005) employees and have a revenue of 8.643 billion USD (2006). Today, the headquarters is in Pittsburgh, Pennsylvania and currently William R. Johnson is the Chairman, President and CEO (Chief Executive Officer). ¹
This popular product can be bought in 14 oz, 24 oz and 36 oz bottles in all supermarkets. It contains “tomato concentrate made from red ripe tomato, distilled vinegar, high fructose corn syrup, corn syrup, salt, spice, onion powder, natural flavouring”. One tablespoon has 15 calories.
To see how this product is marketed locally, I went to a Giant supermarket on 02/07/2008 to get an impression of the prices.
bottle size 14 oz 24 oz 36 oz
Price in dollars 1.59 1.99 2.59
To bring attention to the product, the name is clearly written on the label in fat, huge, black letters. Additional information is highlighted in either red or green. The label’s frame is green and gold. Furthermore, there is the year when the company was founded as well as their slogan “57 varieties”. Clearly, the logo is designed to have a high recognition value. It i...
Stores other than Giant and Superfresh also have house brands; for example, Shoppers and Safeway. Ketchup is a staple in most American households so it is a logical product for supermarket chains to produce on their own.
Indirect competition comes from barbecue sauces, mustards, tomato sauce and puree, spices, mayonnaise or horseradish. Nevertheless, so far I can tell, there is no other company except for Heinz, which have reduced sugar or organic ketchups. Therefore, our company has an advantage with health- conscious consumers.