A brand can be considered to be an intangible quality contract with consumers. Consumers buy a particular brand of product because it represents the same quality, taste or performance that they have experienced before. Egg used to be an unbranded commodity but this company has now pioneered to give its eggs a brand and a "birthday". It has picked the right time after various incidents of food scares from China while consumers now look for some kind of guarantees for the food they eat. It is a sound strategy. However, it could be an uphill battle to secure distribution, given the fact that the egg business in supermarket chains is monopolized with their own imports. Hope it will be able to build a strong enough consumer pull with more promotions so that the chains will take them in.
A brand can be considered to be an intangible quality contract with consumers. Consumers buy a particular brand of product because it represents the same quality, taste or performance that they have experienced before. Egg used to be an unbranded commodity but this company has now pioneered to give its eggs a brand and a "birthday". It has picked the right time after various incidents of food scares from China while consumers now look for some kind of guarantees for the food they eat. It is a sound strategy. However, it could be an uphill battle to secure distribution, given the fact that the egg business in supermarket chains is monopolized with their own imports. Hope it will be able to build a strong enough consumer pull with more promotions so that the chains will take them in.
Comments
In this case, I am not expert enough to know if their concept will work, but I guess it will be pretty hard. And if replenishment is not efficient, customers may be pretty scared to see the "birth date" on the packaging. Would be interesting to see what are people's expectations in terms of eggs birth dates. I hope they did that research.
Link to my post on DQY from last December.
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