Yakult and Activia case study

Content

• Datamonitor View
• Catalyst
• Summary
• Analysis
  • Probiotics Have Been Successfully Marketed Globally, but Have Only Recently Taken off in The US
  • Probiotics Have Been A Major Success Internationally
  • A Lack of Knowledge about The Perceived 'Unappealing' Probiotics Market and A Reluctance to Spend A Premium on A Dairy Product Have Hindered US Growth
  • Evidence Suggests That US Knowledge of Probiotics Is Increasing
  • Health, Convenience and Portion Control Food Trends, Have Boosted US Performance of Probiotics
  • US Consumers Are Also Anxious to Offset Rising Healthcare Costs, Meaning They Are More Likely to Take A Long-Term Approach to Managing Their Health
  • Heritage and Education Have Been Core Features of Yakult's Marketing
  • Yakult Has A Strong Heritage in Japan, Dating Back to The 1930s
  • Yakult Has Capitalized on The Strong Hispanic Market for Probiotics by Test Launching in Hispanic Areas before National Rollout
  • Consumer Education Initiatives Have Been Vital to Help Yakult Overcome Consumer Skepticism Surrounding Probiotics
  • Communicating Its Probiotic Research Activities Has Also Been An Important Part of Yakult's Education Initiatives
  • The Company Has Undertaken Further Research into Probiotics with Danone to Aid More Understanding of The Substance
  • The Small Size of Yakult Bottles Was Initially A Turnoff, but Its Uniqueness Could Be Been Turned to An Advantage
  • Activia Is Marketed as An Enjoyable Food Product with Believable, Tangible Gut Health Benefits
  • The Phenomenal Growth of Activia Has Been Aided by A Substantial Ad Spend in Its First Year to Market
  • Activia Achieves Sales of over US$100m in Its First Year
  • Activia Has Undertaken Consumer Testing, Followed by Product Sampling, to Gain An Understanding of The Market and Promote Word-of-Mouth Marketing
  • A Substantial Advertising Budget Has Aided Growth
  • Activia Is Now Looking to Expand Its Appeal Using Celebrity Endorsement and Sponsorship
  • Jamie Lee Curtis Has Been Recruited for Its Adverts in 2008, Capitalizing on Her Celebrity Status
  • The Company Sponsors Gastro Health Conventions and Runs Ads in Medical Journals to Gain Professional Support for Activia
  • Product Line Extensions Offering Other Desirable Consumer Benefits Look Set to Grow The Brand Further
• Appendix
  • Case Study Series
  • Methodology
  • Secondary Sources
  • Further Reading
  • Ask The Analyst
  • Datamonitor Consulting
  • Disclaimer
• List of Figures
  • Figure 2: Yakult Product Ideals, or 'Shirota-Isms', Are Named after Its Founder, Dr. Minoru Shirota
  • Figure 3: 'Yakult Ladies' in Mexico and China, Provide A Home Delivery Service
  • Figure 1: Yakult Is Sold in Unique-Looking Single-Serve Small Bottles
  • Figure 4: Activia Has Undertaken Celebrity Endorsements to Enhance The Brand's Profile
  • Figure 5: Dannon Aims to Enhance Growth of Activia by Releasing Numerous Flavors in Both Light and Normal Styles