Forward integration?

Catch up competitors if you can.

Catch up competitors if you can.

Here is a wonderful example of cobranding.

Develey, Bavarian producer of sauces, mustard and condiments and supplier of ketchup to McDonalds in Germany, has a growing presence in supermarkets. McDonald’s has none. Develey has the technical and product know-how. McDonald’s as a franchise has, more-or-less, none.

But Develey really doesn’t have a strong national brand, it’s more regional. McDonald’s does.

So put the two together and you have McDonald’s made by Develey, available in a shop near you. The strong brand is shown on the front, as McDonald’s ketchup is basically what this product is all about.

And Develey expands its presence on-shelf, pushing the competition aside.

Win-win?

Prepare to discuss in the next course. Or add your comments here…

Alex Woodruff

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One response to “Forward integration?

  1. I didn’t realized that it is some Develey company behind that ketchup. So for me it has only a benefit for the restaurant to the gilded M. On the other hand it has no negative inflict on Develey when MC D gets another slap into the face by the media. So not really a win win in my opinion!

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