The theories of market segmentation and brand building in Chapter 3, What Products Will Customers Want to Buy? In The Innovator's Solution by Clayton Christensen and Michael Raynor propose that when firms segment markets and build brands in ways that match how the marketplace is seen by the customer - customers hire commodities to get jobs completed - their success rate in innovation escalates. Gallardo's is a privately owned business whose products-- sauces, salsas, and seasonings for Latin American dishes - were sold mostly in the southwestern USA.
Its CEO determined to invade Mexico, when that geographical market had been saturated by the company. Describes Gallardo's marketers learned what jobs Mexican housewives hired these products to do. Reveals how these marketplace penetrations were used by the company to segment the market along different lines than its adversaries. Gallardo's products and advertisements ended up spurring substantial increase in the market, but most of the growth was gained by its main adversary. Were Gallardo's branding and segmentation strategies consistent with the jobs-to-be-done model? Does the company have the opportunity to relaunch its products?
PUBLICATION DATE: May 20, 2008 PRODUCT #: 608S25-PDF-SPA
This is just an excerpt. This case is about SALES & MARKETING