Branded Food & Drink
Coley Porter Bell
Fairview is a small company, producing award-winning Brie and Camembert cheeses that competes with Parmalat, producers of Simonsberg cheese, the No.1 brand in the South African market.
Parmalat is a multi-national with stronger marketing, logistics and merchandising infrastructure. This places more pressure on the Fairview cheese packaging as it has to do more than one job – communicating the product benefit, raising awareness and doing a PR job as well.
By mid 2008 the South African consumer was becoming much more price sensitive – price inflation remained high, but both brands had to keep prices stable to maintain consumer demand.
Simonsberg is, on average, 20% cheaper than Fairview and in the current economic climate there was considerable pressure to reduce prices in order to gain share, but as the premium brand this would erode brand value longer term.1