Playing it REALLY safe

The marketers at Post cereals are sure not swinging for the fences. With their launch of "Just Bunches" , they have created a line extension of their Honey Bunches line, virtually assuring high cannibalization and minimal incrementality. Furthermore, their execution does not appear to be very good as noted in the linked testimonial from a Honey Bunches brand addict :http://www.phillyburbs.com/pb-dyn/news/260-12042008-1632309.html.

With limited R&D resources, slotting dollars that compete for space in a crowded category, and as a distraction to operations, the sales force and the marketing team in general, this launch seems like an overly safe play that will not gain any meaningful business. However, it will give the illusion of in-market innovation inside the company. Too often the internal appearance of what you are doing for the customer trumps the reality of the scarce innovation we consumer see. This is one of the most insidious diseases that affect brand managers today, and will continue to be so until companies adjust their cultures to demand true consumer innovation.