Mighty with milk: Development of a new dairy product for a new segment
Van Nieuwenhuijzen, A.G.P.
Saaksjarvi, M.C. (mentor)
Creusen, M.E.H. (mentor)
Industrial Design Engineering
Product Innovation Management
Master of Strategic Product Design
This project is executed for the department Campina Dagvers of the company FrieslandCampina. Campina is one of the largest brands in daily fresh dairy in the Netherlands. Unfortunately the sales are decreasing due to the rise of the private labels of supermarkets. In this project a new product is developed to strengthen the market position of Campina. Campina’s strengths lie in their cooperative set-up and segmented products. Together 17.000 farmers own the company FrieslandCampina. The company controls the whole value chain; from the raw milk of the cow, to the filled packaging in the supermarket. The segmented products of Campina, like Boerenland and Calcium Plus, that target a specific group of consumers perform best. The basic dairy, like semi-skimmed milk and yoghurt, mainly suffer from the competition of private label. Opportunities for new product development are found in recent trends. Several sets of trends are identified. The trends of the Dutch governmental institution EVD and of brand consultant Clear are chosen because of their Dutch origin. These two sets of trends are the starting point of the detected search areas. The products of FrieslandCampina and competing dairy brands are mapped according to the trends of EVD; ‘convenience’, ‘functional’, ‘organic’ and ‘regional’. Many products fit in two directions, for example Vifit fits in both ‘convenience’ and ‘functional’. None of the products fits in both ‘organic’ and ‘regional’. A product combining these two directions could be positioned here. This product, named ‘Pure’, is further defined as a product that is pure (no additives) and close to the origin. Clear mapped the current brands of Campina by the characteristics ‘enjoyment’, ‘belonging’, ‘functional’ and ‘power’. In this mapping a gap can be identified in the area between ‘power’ and ‘enjoyment’. A product concerning Vitality could be positioned here. This product is further defined as a drink for sports men. Emphasis will be on the product intrinsic benefits of dairy for sports men. Vitality is considered as a very innovative and commercial feasible direction. The pressure on social aspects is low and the trustworthiness of Vitality is high because the benefits are easy to understand for most consumers. Therefore there was chosen to further develop this product. The result is called ‘Dynamilk’: a refreshing dairy drink in a 0,5L bottle specifically for sports men. Dynamillk is for people who play sports on a regular basis, in the Netherlands this group has the size of 6.5 million people. The drink offers many functional benefits which originate in the basic ingredients of milk. The vitamins and calcium are optimal for bones and muscles. The protein will give the sports men a good feeling about building muscles or recovering them and the potassium benefits the hydration process. The taste will be like a fresh yoghurt drink, to improve taste the product should be cooled before served. The drink will be long-perishable by room temperature. Dynamilk will be an individual brand, though Campina will be displayed as the umbrella brand. In this way both brands can profit from each other. The marketing and sales of Dynamilk will be assigned to Campina Dagvers, although the product is technically not fresh but only has the desired image to be fresh. Before Dynamilk can be implemented the product needs to be further developed by food scientists. The packaging should be optimized and made ready for production. Promotional activities are needed towards middleman (supermarkets, wholesalers, sports facilities) as well as directly towards the consumer. The sales team of Campina Dagvers will be responsible to create accounts at supermarkets, wholesalers and sports facilities. Besides their own experience in the daily fresh dairy field they can make use of the experience in the field of sports drinks of the brand Extran, which is also a product of FrieslandCampina. The consumer needs to be attracted by promotional activities. Dynamilk should gain brand awareness by sponsoring a large typically Dutch sport, sports event or sports men. The product can best be introduced in September 2010.
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(c) 2010 Van Nieuwenhuijzen, A.G.P.