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 Re-designing a Product Offering

Hydrox is the original sandwich cookie introduced in 1908. It thrived until 1912, when Nabisco launched Oreo. With Nabisco’s superior distribution and advertising, Hydrox was soon outmatched. By 1998, Hydrox sales totaled $16 million, while Oreo’s revenues were at $374 million. Hydrox has been purchased by Keebler, whose elves are trying to give the cookie a major facelift.

You are part of the Keebler team deciding what to do with the Hydrox brand. Work in groups of 3 and complete the following:

1. What stage is Hydrox in the product life cycle?
2. Can you re-create Hydrox through a name change? (Most people unfamiliar with Hydrox think it is a cleaning product.) Make a list of 3 to 5 possible names. Include your reasons for each choice.
3. Can you modify the original formula/cookie to make something new and more competitive? Will a brand extension work here? Why or why not?
4. How can you package your renewed sandwich cookie to make it more attractive on the shelf than Oreo? What about package size? Explain the benefits of your new package.