MARTIN SLOANE | Supermarket Shopper Dannon rethinks downsizing -- in some markets



If you have been following my columns on grocery product downsizing, wait until you hear this! In reaction to consumer pressure, the Dannon Company will soon sell some of its most popular yogurts in 9-ounce cups, in certain limited markets.
"We decided to respond to consumers who told us the 6 ounce cups were too small," said a Dannon spokesperson.
My readers will remember that Dannon recently downsized their yogurt cups from 8 ounces to 6 ounces. Dannon claimed that shoppers wanted the smaller size. Apparently, their research did not survey the preferences of my readers. This column has included letters from unhappy customers who said the 8-ounce size was just right and 6 ounces weren't enough for them. Many vowed to change brands or make their own yogurt.
The Dannon spokesperson told me the new 9-ounce size will be offered for the Fruit On the Bottom and Light 'n Fit lines, in strawberry and peach varieties.
The bad news
The news from Dannon is certainly welcome, but also a little disappointing. The new 9-ounce cups will only appear in the New York and Philadelphia metropolitan areas as well as Hershey and Scranton, Pa. I asked the Dannon spokesperson why these areas were chosen.
"This is our reaction to the many calls we received from our customers in those areas," she said. "I can't tell you whether there are any plans to introduce it in other areas. This is just for now."
That "just for now" is disappointing. It tells me that Dannon has gotten beaten up by angry consumers in these important markets and had to do something. Losing sales in critical markets like New York and Philadelphia was enough to rattle the Dannon cage. Nine ounce cups are Dannon's quick fix to win back business. But if the business planners consider it a suitable Band-aid, they are shortsighted. If Dannon were more sensitive to what consumers really want, they might have figured out that upsizing from 8 to 9 ounces in the first place would have been one of the most amazing marketing recoveries in brand history.
This news also shows the power of the consumer pocketbook to influence a manufacturer. The calls, the letters and the e-mails to Dannon conveyed the sentiments of consumers, loud and clear. Most of all, lost sales got Dannon's attention.
Shoppers who are not in one of the new 9-ounce marketing areas, as well as those who are able to enjoy the new 9-ounce cups, should let Dannon know how they feel about it. Dannon's toll-free telephone number is: (877) 326-6668. You can also send an e-mail feedback form message in the contact section of the Dannon Web site: www.dannon.com. You can write to: Dannon Consumer Response Center, P.O. Box 90296, Allentown, Pa. 18109-0296.
TV advertising
Grocery product downsizing is now part of the television advertising campaign of Cisco Systems, the leading producer of high technology network equipment. To get the attention of television viewers, the Cisco commercial begins with an olive. A voice behind the camera says: "Meanwhile in Albuquerque, the CFO (chief financial officer) of an olive company has an epiphany." You now see the executive holding up a jar of olives. The voice continues: "By eliminating one olive from every jar they sell he could save the company 200 thousand dollars. An idea so well received that he is asked to save 500 thousand more." The commercial goes on to show how Cisco's Internet-based phones are saving companies millions of dollars.
An executive for one of the largest olive processors say he doubts if anyone would take the commercial seriously and any publicity for olives is probably good publicity. I wish the Cisco commercial had a different twist. I would rather have seen Cisco tell grocery manufacturers they could save millions with the phones and not have to downsize and, for example, steal an olive out of every jar.
What do you think?
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United Feature Syndicate