Analysis of the Marketing Strategy of the New Product Innovation in the Highly Saturated Fast-Moving Consumer Good (FMCG) Market: Study Case: ABC Sweet Soy Sauce with Flavor from the Kraft Heinz Company in Indonesia)

Abstract

The Indonesian condiment market is highly competitive, with sweet soy sauce and chili being the dominant products. ABC Brand was one of the market leaders, but in the Sweet soy sauce market in the past ten years losing its leadership as it is seen as an old brand and no longer has strong differentiation from other brands. In response, KraftHeinz introduced a new innovative product called ABC Kecap Manis+, a sweet soy sauce with unique flavors like smoked beef and seafood, making it a highly innovative product in the market. This study aims to assess the performance of ABC Kecap Manis+ in the market, identify its challenges and opportunities, and provide recommendations for improvement. This study utilizes the marketing funnel and marketing mix frameworks. The study gathered data from internal company sources and conducted surveys using ABC Kecap Manis+ with smoke beef flavor as a representative. The analysis reveals that while the product innovation has achieved above-average penetration levels, trial conversion is low, and sales fluctuate depending on promotional support. The 6Ps marketing mix analysis highlights the product has an overall satisfactory performance. It has a strong perception of usage for meat and less for other dish variants. Meanwhile, based on the initial concept, the product aims for multipurpose use not limited to beef.  The researcher proposes specific measures to address these challenges, including educating consumers about the product's usage and improving communication. A robust communication campaign centered around educating consumers about product usage. By implementing these recommendations, the researcher believes that KraftHeinz can enhance the overall performance of ABC Kecap Manis+ in the market and sustain its competitive advantage in the cooking aid category.