Business Case Studies & Business Publications

Heinz Ketchup: Pricing the Product Line

Wilcox, Ronald T.,...

Case

Heinz Ketchup: Pricing the Product Line

Wilcox, Ronald T.; Goldberg, Rebecca

M-0777 | Published July 6, 2009 | 10 pages Case

Collection: Darden School of Business

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Product Details

An iconic American brand must determine how to maximize net profit by increasing the sales of its highest-margin items in the face of constant retailer pushback including reduced shelf space and promotional support of those same products. This case is suitable for required MBA marketing courses as well as pricing and brand management electives at both the undergraduate and MBA levels. The analytics of the case assume that students can calculate both dollar and percentage margins.

Students consider how a large brand must (1) manage distribution channels, (2) think about profits, and (3) apply customer-level profitability metrics to traditional CPG marketing.